Basu Slams US Trade Policy: “Unfortunate” Tariff Hike Baffles Economist
Renowned economist Kaushik Basu has sharply criticised the United States’ new economic policy targeting India. He described the move as “unfortunate” and deeply flawed.
The criticism follows US President Trump’s announcement of a 25% tariff on several Indian goods. The rationale cited was a perceived trade imbalance and high Indian tariffs.
Professor Basu finds this justification perplexing. He points to India’s relatively modest trade deficit with the US, highlighting India’s significant reliance on American goods and services.
This protectionist stance, Basu argues, risks harming bilateral economic ties and undermining global trade stability. The impact on Indian businesses and consumers remains a key concern.
The implications extend beyond immediate economic fallout. This escalating trade tension could significantly impact the strategic partnership between the two nations, potentially influencing future collaborations on critical global issues.
