Tariff row hits defence ties: India halts planned US arms purchase; Rajnath Singh cancels Washington trip; $3.6 billion aircraft deal on hold – Report

123187443.jpg


Tariff row hits defence ties: India halts planned US arms purchase; Rajnath Singh cancels Washington trip; $3.6 billion aircraft deal on hold - Report

NEW DELHI: India has put on hold plans to buy new US weapons and aircraft in what officials say is the first tangible sign of discontent after US President Donald Trump imposed steep tariffs on Indian exports, Reuters reported, citing three officials familiar with the matter.The purchases, which were to be announced during defence minister Rajnath Singh’s planned visit to Washington in the coming weeks, included Stryker combat vehicles from General Dynamics, Javelin anti-tank missiles developed by Raytheon and Lockheed Martin, and six Boeing P8I reconnaissance aircraft for the Indian Navy in a proposed $3.6 billion deal, according to Reuters. The visit has now been cancelled, Reuters reported, quoting two officials.Trump, on August 6, announced an additional 25% tariff on goods over imports of Russia oil by India, raising the total duty to 50%, one of the highest rates applied to any US trading partner.Donald Trump Tariffs News Live Updates: India-US trade deal talks in limbo?
While Trump has a record of reversing tariff measures quickly, officials told Reuters that defence purchases could resume once there is clarity on trade policy and the direction of bilateral ties. For now, there has been “no forward movement.”India has said it is being unfairly targeted, noting that the US and European nations continue trading with Moscow when it suits their interests. The deeper US-India defence relationship, built partly on shared concerns over China, remains intact in areas like intelligence sharing and joint military exercises, according to one official.India, the world’s second-largest arms importer, has long relied on Russia for weapons, but in recent years has shifted to suppliers like France, Israel, and the US, Reuters noted. Moscow, however, continues to court Delhi with offers of new defence technologies such as the S-500 missile system, though officials say no new purchases from Russia are planned for now.





Source link

Leave a Reply

Your email address will not be published. Required fields are marked *