Can India Avoid Donald Trump’s BRICS Pressure While Chasing A Trade Deal?

India is currently looking to strike a favorable trade deal with the United States as US President Donald Trump is threatening to impose new tariffs on India over its participation in the BRICS forum, which puts New Delhi in a difficult position.

What Did Trump Say?

Trump said on Tuesday that Indian may face an additional 10% tariff along with other members of BRICS - a bloc of emerging economies he has labeled "Anti-American."

These remarks came in a day after the US President said that he was close to finalizing a trade deal that New Delhi hopes would give it reprieve from 26% reciprocal tariffs.

Trump's latest threat followed a two-day BRICS summit in Brazil, in which leaders agreed on a joint statement that criticized trade-distorting tariffs, a Bloomberg report said.

While Brazil and South Africa have given Trump a hard time separately for his comments, India has not responded publicly. This is a sign that it is treading a fine line in maintaining its relationship with Washington.

Additionally senior Indian diplomat P Kumaran said at a press briefing on Tuesday that Prime Minister Narendra Modi and his Brazilian counterpart Luiz Inacio Lula da Silva had "no discussion" on Trump's tariff threats during the Indian leader's state visit there.

Why Is The India-US Trade Deal Important?

The India-US trade deal is important because a lot is riding on the success of this trade deal, which both countries have pledged to finalize by the fall of this year. Further, according to Shashi Tharoor, a trade deal would also signify strong ties between the two countries.

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