India has reportedly suspended its plans to purchase new weapons and aircraft from the United States, a decision that follows the imposition of new tariffs by the US on Indian goods. This development has halted a planned visit by India’s Defense Minister, who was expected to finalize several defense contracts in Washington. The move signals a growing rift in the trade relationship between the two nations.
The US tariffs, which were announced by President Donald Trump, include a 25% tariff on Indian exports and a “penalty” for India’s continued purchases of Russian energy and military equipment. An additional tariff was later imposed in direct response to India’s Russian oil purchases, further escalating the dispute.
Indian officials, who initially believed the tariff issue could be resolved through trade talks, have now taken a firm stance. The suspension of the defense deal represents a significant financial and strategic setback for the US defense industry and highlights how a trade war with Washington is influencing military procurement decisions in key partners.
Sources:
The Wall Street Journal: US-India trade spat affects defense deals
Foreign Policy: India’s pivot away from US military hardware
