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Trump’s new tariff threats on India over alleged rice dumping raise stakes in fragile trade negotiations

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yesterday

US President Donald Trump has once again placed India at the center of America’s escalating trade battles, this time accusing New Delhi of “dumping” rice into the US market and signaling that new tariffs could soon follow. The remarks, made during a White House meeting with American farmers on December 8, have injected fresh uncertainty into already delicate trade negotiations between the world’s largest democracy and its most powerful economy.

The farmers who met with the president alleged that India – along with Canada – was distorting the US market by selling rice and fertilizers at artificially low prices. Trump, who has consistently positioned himself as a defender of US agricultural interests, quickly seized on the claims. “Why is India allowed to do that?” he asked Treasury Secretary Scott Bessent, questioning whether New Delhi currently enjoys any tariff exemptions on rice.

When told that the two largest retail rice brands in the US were Indian, Trump vowed immediate action. “All right, and we’ll take care of it,” he responded. “Tariffs, again, solves the problem in two minutes.” The president doubled down moments later, saying: “They shouldn’t be dumping… I mean, I heard that from others. You can’t do that.”

The rhetoric marks the latest flashpoint in a long-running dispute between Washington and New Delhi over trade balances, market access, and industrial policy. But this time, the stakes are higher: both countries are in the midst of negotiations aimed at concluding a long-awaited trade pact, and India is seeking to stabilize relations following a series of tariff clashes that have strained economic........

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