Nikki Haley, warned that Donald Trump’s new 50% tariffs on Indian goods.
She said the move risks damaging a vital US-India partnership.
She called the move counterproductive, saying India is key to countering China.
The accountant and former US Ambassador to the UN, Nikki Haley, has warned that Donald Trump’s tariff escalation against India risks breaking ties with a vital partner. She said the relationship must be repaired if America wants to counter China’s growing global ambitions.
In a Newsweek op-ed published on Wednesday, 20 August 2025, Haley criticized Trump’s decision to impose additional tariffs on Indian goods. Haley wrote “Treating India like an adversary instead of a partner would be a massive—and preventable—mistake.”
Trump recently imposed a 25% tariff on Indian goods over Russian oil purchases. This came on top of an earlier 25% duty. India’s Commerce Ministry said $48.2 billion worth of exports will now face 50% tariffs from August 27.
Haley called the move 'counterproductive' and warned that undoing 25 years of progress with the only country capable of countering China in Asia would be a strategic disaster.
She stressed that India should not be treated like China, which has avoided sanctions despite being one of Moscow’s largest oil buyers.
Haley argued that India is vital for US foreign policy goals. “To achieve the Trump administration’s foreign policy goals—outcompeting China and achieving peace through strength—few objectives are more critical than getting US-India relations back on track,” she wrote.
The former diplomat said any rupture will allow the Chinese Communist Party to play Washington and New Delhi against each other. She urged direct talks between Trump and Prime Minister Narendra Modi:
“The most urgent priority should be to reverse the downward spiral, which will require direct talks between President Trump and Prime Minister Narendra Modi. The sooner the better.”
Haley also highlighted India’s importance for supply chains. She said “While the Trump administration works to bring manufacturing back to our shores, India stands alone in its potential to manufacture at a China-like scale for products that can’t be quickly or efficiently produced here, like textiles, inexpensive phones, and solar panels.”
She pointed to growing defense ties, saying India’s cooperation with US allies like Israel makes it a key defense market and a security asset.
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Haley noted India’s growing role in the Middle East, helping stabilize the region as America reduces troops. Its location at the centre of China’s trade and energy routes, she said, could complicate Beijing’s plans in a conflict.
Haley emphasized India’s long-term geopolitical weight. She noted that the country is home to more than a sixth of humanity. India surpassed China as the world’s most populous nation in 2023. It has a young workforce that contrasts sharply with China’s ageing population.
Calling India’s rise the most significant event since China’s, Haley added “Simply put, China’s ambitions will have to shrink as India’s power grows. Yet, unlike Communist-controlled China, the rise of a democratic India does not threaten the free world.”
Haley, who endorsed Trump for 2024 after losing to him in the primaries, has remained a vocal critic of some of his policies. She served as UN Ambassador from 2017 to 2018, becoming the first Indian American to hold a US cabinet-level position. [Rh/Eth/VP]
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