The United States is straining its political and economic ties with India by adopting double standards, slapping tariff and exerting constant criticism and pressure. However, President Donald Trump appears increasingly frustrated after miscalculating that India would eventually yield to US demands. Contrary to his expectations, India has strengthened its engagement with China and Russia at the recent Shanghai Cooperation Organisation (SCO) Summit. Adding to Washington’s discontent, India reaffirmed its decision to continue importing oil from Russia, a move that has angered Trump. In response, Trump lashed out, branding trade relations with India a “disaster.”
Following this outburst, Trump issued a fresh warning of a move that could have a severe impact on health security in USA. The US President has proposed imposing heavy tariffs on imported medicines, a sector that had previously enjoyed exemption in the trade war. Under the proposed plan, tariffs could rise as high as 200 per cent on medicines imported from foreign countries. While medicines were largely exempt from taxes in the US, recent measures have already introduced a 15 per cent tariff on certain drugs from Europe. Experts warn that Trump’s latest decision could significantly backfire on American consumers, leading to soaring drug prices and widespread shortages.
Industry analysts have expressed serious concern about the implications of this policy. Even a 25 per cent tariff, they estimate, could cause drug prices in the US to rise by 1014 per cent. This is because 97 per cent of antibiotics and 92 per cent of antiviral drugs rely on imported components for their manufacture. Pharmaceutical companies prefer this model because establishing a complete domestic production chain in the US is prohibitively expensive. While large multinational corporations might withstand the impact, generic drug manufacturers could be forced out of the American market, ultimately reducing supply. Such a scenario would exacerbate drug shortages and drive prices higher, with the burden falling disproportionately on low-income groups and the elderly. Ironically, this development runs contrary to Trump’s campaign promise to bring down prescription drug prices. It is noted that the proposed tariffs would not take effect immediately but only after a year and a half, giving companies time to stockpile inventory.
Meanwhile, Trump claimed that India has promised to remove tariffs on US products, though he dismissed this as “too little, too late.” He reiterated his assertion that trade with India remains “a one-sided disaster.” These remarks came in the wake of the high-profile India-Russia-China interactions at the Shanghai Cooperation Summit. During the summit, India, China, and Russia consolidated their cooperation in the face of Trump’s escalating tariff threats.
Modi Reassures Putin on Oil Imports as India Defies US Pressure
Prime Minister Narendra Modi reassured Russian President Vladimir Putin that India would continue its oil imports from Russia despite US objections. The SCO Summit also adopted a joint statement endorsing India’s position against terrorism, specifically mentioning the recent terror attack in Pahalgam. A rare display of alignment among Russia, India, and China marked the summit, signaling a shift in the regional geopolitical dynamic.
One of the most notable moments was the warm interaction between Modi and Putin, who embraced each other on the summit stage. Modi greeted Putin with the words, “It’s a pleasure to see you.” Soon after, the two leaders engaged in a brief discussion with Chinese President Xi Jinping. They met again after the official photo session of the SCO Summit. In a symbolic gesture of camaraderie, Modi and Putin departed from the summit venue in the same car. This came amid Western allegations linking India to the ongoing conflict in Ukraine. Modi even shared a photograph of the moment on social media, underscoring the cordial ties between the two nations.
By reaffirming its stance on Russian oil imports, India sent a clear message that Trump’s threats will not dictate its energy policy. The SCO Summit not only strengthened India’s position in a multipolar world but also highlighted its willingness to defy US pressure while forging closer ties with Moscow and Beijing.
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