The United States has imposed additional tariffs on India due to its purchase of oil from Russia, leading to tariffs reaching up to 50 percent. Amidst this, a statement has emerged from US Commerce Secretary Howard Lutnick. Criticizing key trading partners, he asserted that India and Brazil should open their markets in a way that does not harm American interests. These countries must ‘React Correctly’ to the US.
Lutnick stated, “We have several countries that we have to fix—like Switzerland, Brazil, and India. These countries really need to react correctly to the US. They need to open their markets and stop actions that harm America.”
Several days prior, Lutnick mentioned that India’s opposition in trade talks is largely symbolic. He also predicted that India would return to the negotiating table in a month or two. He suggested that Indian business companies would pressure Prime Minister Narendra Modi’s government to reach an agreement with the US.
The US official also criticized India’s large-scale purchase of cheap crude oil from Russia since the Ukraine war, calling it completely wrong and ridiculous. He emphasized that India needs to decide which side it is on.
The US official, framing the issue in strict economic terms, reminded countries that the US remains the world’s largest consumer market. He said, “We are the consumers of the world. People have to remember, our $30 trillion economy is the world’s consumer. Therefore, they have to return to the customer because we all know that in the end, the customer is always right.” These strong comments arrive as trade deal negotiations between the US and India are underway, alongside reactions to the additional tariffs imposed by the US on India.