External Affairs Minister S. Jaishankar at the Kautilya Economic Conclave 2025 in New Delhi stated that any India–U.S. trade deal should honor India’s “red lines.” He asserted that attempts are made to seek a balanced ‘landing ground’ after months of setback in talks.
Jaishankar also added, “We are worried about the United States because we have yet to find a destination for our trade negotiations.” He said that this imbalance has caused Indian products to face tariffs, which India deems as unfair and unjustified.
He said certain tariffs are penalizing India for buying Russian oil while other nations with more robust anti-Russia postures are doing the same. “It’s very unfair,” Jaishankar grumbled, calling on Washington to be more balanced in its policy.
New Delhi-Washington relations remain strained following U.S. President Donald Trump’s move to put tariffs on Indian products to as much as 25%, and add a 25% penalty on India for buying Russian crude oil. India has labelled the moves as “unreasonable and discriminatory.”
Even as the strain betrays itself, Jaishankar restated India’s resolve to achieve an understanding with America and said, “Whatever happens, there has to be a trade understanding, because the U.S. is the world’s largest market. But it has to be one where our bottom lines, our red lines are respected.”
He made it clear that India will not budge one inch on agriculture and dairy products, which America wants to have increased access to. Prime Minister Narendra Modi has consistently stated that he will “save farmers at any cost.”
Finding Common Ground
Jaishankar reaffirmed that the negotiations with Washington are under way and that both sides are looking for a realistic platform. The negotiations resumed in September, indicating a tentative easing of relations.
“There are problems, but both are trying to resolve them. The majority of the relationship is business as usual — in certain ways even extending,” Jaishankar said, citing ongoing cooperation on technology, defense, and education.
‘Open Market’ vs. ‘Red Lines’
Jaishankar made the comment a week following U.S. Commerce Secretary Howard Lutnick’s statement that nations must “play ball with the President” if they want access to America’s market. Lutnick also asked India “to open its markets” and not import Russian oil — an offer New Delhi obstinately refuses.
As the Trump administration insists on greater market access, Jaishankar is firm that India will not give on its fundamentals. “In any bargain, there are things you can negotiate and things you can’t,” he asserted.
Trump’s Shifting Stance
President Trump’s engagement with India is still ambiguous. He has played the dual role of both praising Prime Minister Modi as a wonderful friend and sternly rebuking India’s trade policies in global forums. Imposing tariffs and rebuking India’s engagement with Russia by his administration has already complicated diplomatic equations.
Trump’s actions have also attracted notice at home and abroad. Pakistan has even endorsed his nomination for a Nobel Peace Prize for playing a role in brokering ceasefires — something which India vehemently denies as exaggerated.
India’s Broader Strategy
Apart from commerce, Jaishankar also added that the world order requires additional domestic resilience. “The solution to a more challenging world isn’t merely external; much of it lies within,” he mentioned, referring to India’s self-reliance initiative through initiatives such as Make in India and Atmanirbhar Bharat.
As the global economic framework becomes more unstable, India desires to balance strategic autonomy with economic growth, in a way that foreign alignment never receives more priority than national interests.
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