The Indian Government is Pausing Plans to Buy Weapons and Aircraft from the United States. The Indian Defense Minister Has also Canceled His Trip to Washington. India is Doing This because the US Doubled Import Duties on Wednesday.
India is Waiting to Purchase Javelin Missiles and Boeing Reconnaissance Aircraft, Accordance to the News Agency Reuters Based on Government Sources. Indian Defense Minister Rajnath Singh was planning to travel to Washington in the coming week to announce the deal, but that trip has bone canceled.
US President Donald Trump Doubled the Import Duty on Indian Goods to 50 percent on Wednesday. The 25 percent rate will take effect this week, with the increase to 50 percent in three weeks. It is one of the highest rates in the us for a trading partner.
Trump had Long Threateded the Tariff Increase because the Wants India to Stop Buying Russian Oil. The Wants to Put Pressure on Russia to End the War With Ukraine.
The Increased Import Duty Means That People In The US Who Buy Products Imported From India Must First Pay 25 and later 50 percent Tax. This Means Extra Income for the American Government, But It Hinders The Indian Competitive Position.
One of the Sources who spoke to reuters Said that the Purchases Could Simply Continue as Soon as India Has Clarity about the Tariffs and about the Relationship Between the Two Countries. In a reaction to the Story, The Indian Government Said That There Is No Puse in the Negotiations.