India Says No to Trump Over 50% Tariffs — Suspends $3.78 Billion Aircraft Deal Amid Clash Over Russian Oil.

India Says No to Trump Over 50% Tariffs — Suspends $3.78 Billion Aircraft Deal Amid Clash Over Russian Oil.

by Yeyetunde at Aug 8, 2025

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India has frozen a major defense deal with the U.S. to purchase six Boeing P-8I Poseidon aircraft, valued at $3.78 billion, in direct response to steep tariffs imposed by President Trump.

The U.S. recently announced a 50% duty on Indian goods, citing India’s continued imports of Russian oil as “fueling the war machine” in Ukraine.

Indian officials called the move “hypocritical,” pointing out that Western nations also buy Russian energy.

India defended its oil strategy, saying Russian crude is essential for economic stability and energy security for its 1.4 billion citizens.

Trump further accused India of reselling Russian oil for profit, escalating diplomatic tensions.

This aircraft deal, crucial for maritime surveillance, was nearly finalized but now hangs in limbo.

India already operates 12 P-8Is and was expanding its fleet amid rising Chinese activity.

Former diplomats say Trump’s actions reflect both strategic frustration and personal grievances, including stalled trade talks and India’s rejection of his mediation claims.

The standoff reignites India’s commitment to strategic autonomy and marks a bold refusal to bow to U.S. pressure.

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