Congress general secretary Jairam Ramesh accused President Trump of “piling it on India,” and took a swipe at Prime Minister Narendra Modi for what he called prioritising personal diplomacy over national interest, a day after US President Donald Trump said 25 per cent tariffs would kick in on Indian products from August 1.
The Congress slammed Prime Minister Modi for what it called a failed foreign policy built on "personal friendships."
Trump’s announcement also includes unspecified penalties for India’s continued oil and military purchases from Russia, as well as sanctions on six Indian companies over alleged petrochemical trade with Iran.
“President Trump’s stance towards India continues to harden! Since May 10, Trump has claimed 30 times that he stopped Operation Sindoor. He made these claims in four different countries,” Ramesh wrote in Hindi on X (formerly Twitter).
“On June 18, he hosted the Pakistan Army chief and the mastermind of the Pahalgam terrorist attacks for lunch at the White House. On July 30, he imposed a 25 per cent tariff on exports from India and additional penalties on India's oil and defence purchases from Russia. Additionally, he imposed sanctions on at least six Indian companies accused of having ties with Iran.
“On the same day, Trump also announced that the United States would assist Pakistan in the exploration and development of its oil (and gas) reserves. This is separate from the financial assistance he has already secured for Pakistan through the IMF and World Bank,” he pointed out.
Ramesh referenced Modi’s past remarks about the “TOP” challenge — Tomato, Onion, and Potato price inflation — saying, “Now India faces the CAP challenge—a political challenge arising from China, America, and Pakistan.”
He added,“PM Modi invested heavily in his personal friendship with President Trump, just as he did earlier with President Xi Jinping. But now both leaders have come to fully understand how he can be swayed through his ego and self-absorbed nature.”
The White House has justified its actions, citing national interest and violations related to sanctions regimes. In a social media post, Trump labelled India’s trade policies as “most strenuous and obnoxious,” and wrote, “All things not good! India will therefore be paying a tariff of 25 per cent, plus a penalty for the above, starting on August first.”
The penalty, the administration says, is primarily due to India’s continued purchases of Russian oil and weapons. Notably, while China — the largest importer of Russian oil — has faced high tariffs from the US, it has not been penalised for its trade with Moscow. India, on the other hand, is now the first country facing such direct penalties.
Adding to the pressure, the US state department announced sanctions against six Indian companies for their “significant” trade in Iranian-origin petrochemical products, as part of a wider effort targeting entities in India, UAE, Türkiye, and Indonesia.
“The Iranian regime continues to fuel conflict in the Middle East to fund its destabilizing activities. Today, the United States is taking action to stem the flow of revenue that the regime uses to support terrorism abroad, as well as to oppress its own people,” the state department said.
The Indian firms sanctioned include Kanchan Polymers, Alchemical Solutions, Ramniklal S Gosalia & Co, Jupiter Dye Chem Pvt Ltd, Global Industrial Chemicals Ltd, and Persistent Petrochem Pvt Ltd — with alleged dealings worth millions of dollars in Iranian-origin chemicals like polyethylene, methanol, and toluene. These firms now face asset freezes and a prohibition on doing business with US entities.
The US Treasury also designated more than 50 individuals, companies, and vessels connected to Mohammad Hossein Shamkhani — son of Ali Shamkhani, a key aide to Iran’s Supreme Leader — in what it described as the largest Iran-related sanctions action since 2018.
Among those named are Indian nationals Pankaj Nagjibhai Patel, Jacob Kurian, and Anil Kumar Panackal Narayanan Nair, accused of facilitating Iran’s petroleum shipments through companies and vessels registered in the UAE and Marshall Islands.
On Wednesday, the Opposition parties slammed the government for the US' imposition of the tariff and penalties on Indian imports, and said that Prime Minister Modi's friendship with the US President meant little.
Ramesh said Modi should draw inspiration from former Prime Minister Indira Gandhi and stand up to Washington, instead of relying on photo-ops and personal rapport.