Trump Imposes Extra 25% Tariff on Indian Imports; Baba Ramdev Calls for Boycott of U.S. Brands
Trump Imposes Extra 25% Tariff on Indian Imports; Baba Ramdev Calls for Boycott of U.S. Brands
Yoga guru Ramdev has recently questioned the administrative system of the United States, criticised Donald Trump for imposing an extra 25% tax on Indian goods because India bought crude oil from Russia. He has urged a complete ban on American companies and brands in India.
Baba Ramdev’s urge came after some hours when US President Donald Trump announced the doubling of tariffs on Indian imports. This decision was set to come into effect from Wednesday. This has adversely affected the relationship between two strong democratic countries, which had become close partners in recent years. A punishment tax of 25% was added because India bought oil from Russia. This came on top of an earlier 25% tax that Trump had already put on many goods coming from India.
Baba Ramdev described this action as “political bullying, hooliganism and dictatorship.” Further, while addressing the media, he added, “Indian citizens should strongly oppose the 50 per cent tariffs that America has imposed on India. American companies and brands should be completely boycotted.” Yoga guru has encouraged every citizen of India not to use or buy US companies’ manufactured goods, like the goods of companies like Pepsi, Coca-Cola, Subway, KFC, McDonald etc.
In another quote, a media channel caught Baba Ramdev saying, “Not a single Indian should be seen at the counters of Pepsi, Coca-Cola, Subway, KFC, or McDonald’s. There should be such a massive boycott… If this happens, chaos will ensue in America. Inflation will increase in America to the point where Trump himself may have to retract these tariffs. Trump has committed a blunder by turning against India.” Baba Ramdev wants the US to realise what it has done by going against India.
The increase of 25% of tax on Indian goods has ultimately led to a total of 50% tax on Indian products. This action has badly affected the Indian industries of clothes, jewellery, shoes, sports items, furniture, and chemicals. India is not the only country with which the US has done this; Brazil and China are also suffering the same rude behaviour from the US.
These new taxes could seriously hurt thousands of small Indian exporters and put many jobs at risk, including in Gujarat. They are also likely to slow down India’s economic growth, even though it’s currently the fastest-growing major economy.
As of Wednesday, there were no signs that the U.S. and India would restart trade talks. The last five rounds of talks failed to reach a deal that would lower U.S. taxes on Indian goods to about 15%, which is the rate the U.S. has agreed to with Japan, South Korea, and the European Union.
Indian stock markets didn’t react on Wednesday because they were closed for a Hindu festival. But on Tuesday, the stock market had its worst day in three months after the U.S. officially announced the new tax. The Indian rupee also fell for the fifth day in a row on Tuesday, reaching its lowest value in three weeks.