As the July 9 deadline for President Donald Trump’s reciprocal tariffs looms, Congress MP and Leader of Opposition Rahul Gandhi launched a sharp attack on Prime Minister Narendra Modi, claiming he will “meekly bow” under US pressure. The comment comes amid heightened negotiations between Indian and American trade teams over a possible interim trade agreement.
“Piyush Goyal can beat his chest all he wants. Mark my words, Modi will meekly bow to the Trump tariff deadline,” Gandhi posted on X, referring to Commerce Minister Piyush Goyal’s recent remarks defending India’s firm position.
President Trump had earlier announced a 26% tariff on Indian imports under his April 2 “Liberation Day” plan, targeting what he described as India’s long-standing trade imbalances and protectionist policies. While the US later suspended the tariffs for 90 days to allow time for negotiations, that window closes in just three days.
Goyal Asserts India Won’t Compromise on Core Sectors
Union Minister Piyush Goyal, speaking at a business event in Delhi, reiterated that India would only agree to a deal that protects national interests. “India never enters into trade deals based on deadlines or time pressure. It should be a win-win agreement, and only when India’s interests are safeguarded,” Goyal said.
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The trade negotiations have stalled over key disagreements. The Trump administration is demanding reduced tariffs and greater access to India’s agricultural and dairy markets—sectors that are politically and economically sensitive in India. Notably, India’s dairy industry supports over 80 million livelihoods, and Indian negotiators have resisted opening it to American products.
Conversely, India is pushing for better access to the US market for its labour-intensive exports, including textiles, leather goods, gems and jewellery, and chemicals. Special Secretary Rajesh Agarwal, leading the Indian delegation, has extended his stay in Washington to continue the dialogue, but no resolution has been reached.
As the deadline nears, pressure is mounting on both sides. Without a deal, India will have to brace for the 26% tariff hike, a move that could impact exporters and strain bilateral trade relations.