India pauses plans to buy U.S. arms after Trump’s tariffs, Reuters reports
INDIA, AUG 8 – India halted the $3.6 billion Boeing P-8I deal after a nearly 50% price rise caused by US tariffs and supply chain issues, prompting a strategic reassessment of defence spending.
- On August 6, U.S. President Donald Trump doubled tariffs on Indian imports to 50% to punish India's purchases of Russian oil amid the Ukraine conflict.
- This tariff hike follows India's deepening security ties with the U.S., ongoing arms procurement plans, and its partial shift from Russian suppliers constrained by the Ukraine war.
- As a result, India has paused a $3.6 billion Boeing aircraft deal and halted talks on Stryker vehicles and Javelin missiles, leading to the cancellation of Defence Minister Rajnath Singh's planned Washington visit.
- Officials reported that tariffs and supply disruptions caused nearly a 50% project cost increase, complicating Modi's efforts to reduce reliance on Russian weaponry amid rising anti-U.S. sentiment.
- This procurement pause marks a low point in U.S.-India relations and suggests India may scale back Russian oil imports but remains dependent on Moscow for military support.
53 Articles
53 Articles
New Delhi., India put on hold its plans to acquire new U.S. weapons and planes, said three Indian officials, in the first concrete sign of discontent after the tariffs imposed by President Donald Trump brought ties between nations to their lowest level in decades.
India Halts U.S. Arms Deals in Response to Trump Tariffs.
PULSE POINTSWHAT HAPPENED: India has reportedly paused arms purchases from the United States and canceled a visit by Defense Minister Rajnath Singh to Washington following new tariffs imposed by President Donald J. Trump.WHO WAS INVOLVED: President Donald Trump, Indian Prime Minister Narendra Modi, and the Indian Defense Ministry.WHEN & WHERE: The tariffs were imposed in August 2025, with the arms purchase developments emerging shortly after, ac…
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