In a resolute address on August 7, 2025, Indian Prime Minister Narendra Modi emphasized India's unwavering commitment to safeguarding the interests of its farmers, fishermen, and livestock holders amid escalating trade tensions with the United States. Modi's remarks came in response to U.S. President Donald Trump's recent imposition of additional tariffs on Indian goods, a move that has intensified bilateral trade disputes.

Addressing the MS Swaminathan Centenary International Conference in New Delhi, Modi stated, "For us, the interest of our farmers is our top priority. India will never compromise on the interests of farmers, fishermen, and dairy farmers. I know, we will have to pay a heavy price for it, and I am ready for it. India is ready for it." This statement underscores India's determination to prioritize domestic agricultural interests despite external pressures.

The U.S. administration's decision to impose a 25% tariff on Indian exports, followed by an additional 25% levy as a punitive measure for India's continued purchase of Russian oil, has significantly strained relations between the two nations. These tariffs have raised concerns about potential adverse effects on India's economy, particularly in sectors heavily reliant on exports to the U.S.

In response to these developments, India's Ministry of External Affairs criticized the new trade penalties, labeling them "unjustified, unfair, and unreasonable." The ministry highlighted that India's energy imports, including those from Russia, are based on economic and strategic considerations aimed at ensuring affordable and reliable energy access for its 1.4 billion citizens.

Despite the escalating trade tensions, both nations have expressed a willingness to engage in dialogue. President Trump announced ongoing negotiations with India to address trade barriers, expressing optimism about reaching a mutually beneficial agreement. Similarly, Prime Minister Modi conveyed his intention to speak with President Trump regarding the ongoing trade negotiations, emphasizing the potential of a successful trade deal to enhance the India-U.S. partnership.

As the situation develops, the international community continues to monitor the evolving trade dynamics between India and the United States, recognizing the broader implications for global economic stability and bilateral relations.