The issue of US President Donald Trump imposing a 50% high tariff on India has reached the Supreme Court. The Trump administration explained in 251 pages that this step was taken keeping in mind the Russia-Ukraine war and national security.
Trump Tariff: A major dispute has arisen regarding trade relations between India and the United States. US President Donald Trump had imposed a tariff of up to 50% on many products coming from India. Now, this matter has reached America's apex court, i.e., the Supreme Court. In court, the Trump administration had to explain why such a high duty was imposed on a major trading partner like India.
A 251-Page Response Filed in Court
The Trump administration has filed a detailed response of 251 pages in the Supreme Court. It explains why this duty imposed on India was necessary and its connection to the US economy and national security. The administration states that a 25% reciprocal duty and an additional 25% duty have been imposed on India, bringing the total tariff to 50%.
New Tariff Effective from August 27
This duty was implemented from August 27. This means that products going from India to America now have to pay double the previous duty. This is directly impacting Indian exporters, especially those industries dependent on the American market.
Matter Linked to the Russia-Ukraine War
The Trump administration informed the court that this decision is directly related to the Russia-Ukraine war. India has been purchasing energy products in large quantities from Russia. America claims that this has impacted global peace and security. Therefore, a high tariff was imposed on India to deal with a national emergency situation.
Reference to IEEPA
To justify this step, the Trump administration cited the IEEPA (International Emergency Economic Powers Act). This law was enacted in 1977 and grants the US President the authority to take special economic measures if an international emergency situation arises.
Arguments of National Security and Economic Strength
The Trump administration argued that in the absence of such duties, the US could have faced trade retaliation. This step was necessary for America's national security and economic prosperity. The administration stated that if duties were not imposed on India, American industries and trade would have suffered significant losses.
Agreements with the European Union
It was also stated in the Supreme Court that after imposing duties on India, the US entered into trade agreements worth approximately $2,000 billion with the 27 countries of the European Union and 6 other major trading partners. This indicates that this tariff strategy proved to be a major economic weapon for the US on a global scale.
