Trump tariff
US President Donald Trump has imposed a 25 percent tariff before the deadline of 1 August in a threatening manner on India. Trump has taken this step with the growing business relationship between India and Russia. Actually, in the last few years, India has been buying the most crude oil from Russia, which America did not like. For this reason, now India will have to pay huge tax and penalty.
Government said- not compromise with interests
Negotiations were going on between India and America for the last few months to make a fair, balanced and mutual interest business agreement. India has made it clear that the government gives the most importance to protect the interests of farmers, small businessmen and MSME sector. The government has assured that all necessary steps will be taken to protect the national interest. Like so far, other business agreements have been done. Recently, the exact economic agreement with the UK is also being described as an example of this.
Causes of America knocking cheap oil from Russia
It has been three years since the Russia-Ukraine war. During this time, most countries of Europe have stopped buying oil and gas from Russia. But India continued to ask for cheap crude oil from Russia, which benefited India a lot, but the same thing was knocking in the eyes of America and Europe. As a result, US President Trump has now put 25% tariffs and penalty over India.
The stock market will affect
This decision of Trump may directly affect the Indian stock market. Experts believe that this decision may cause the market to decline and investors may suffer losses. However, during the last two business days, there was a good rise in the stock market, but now due to tariffs, it can fall a big decline.