Washington, August 18 — Former U.S. ambassador to the United Nations Nikki Haley has cautioned former president and Republican nominee Donald Trump against imposing a fresh 25% tariff on Indian goods, warning it could turn into a “strategic disaster” just days before the deadline for implementation.
The proposed tariff, part of Trump’s wider trade agenda, is scheduled to come into effect next week unless a last-minute decision changes course. If imposed, it would significantly raise the cost of Indian exports to the U.S., hitting sectors such as textiles, pharmaceuticals, and information technology services.
Haley, who has positioned herself as a key voice on foreign policy within the Republican camp, said the move could undermine relations with India, one of Washington’s closest strategic partners in the Indo-Pacific. “At a time when the U.S. seeks stronger alliances to counter China, punishing India economically would send the wrong message,” she noted during a media interaction.
Business groups in both countries have also raised concerns. The U.S.-India Business Council urged policymakers to reconsider the measure, stressing that tariffs could disrupt supply chains, hurt American companies dependent on Indian imports, and create uncertainty for investors.
Trump has defended his tariff plan as part of his “America First” economic policy, arguing that countries must pay a fair share for access to the U.S. market. However, Haley’s warning highlights growing divisions within the Republican fold on how to balance trade pressure with strategic partnerships.
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