In an exclusive interview with India Today, World Economic Forum (WEF) President Børge Brende shared his views on the recent strain in India-US trade ties. He said the current friction over tariffs is temporary and will not derail the long-term partnership.
“There have been decades of close cooperation between the US and India. These weeks of tension will pass,” Brende said, referring to the reciprocal tariffs imposed after former US President Donald Trump announced a 50% duty on Indian goods.
India responded with counter-tariffs, which Brende believes helped calm the situation and opened the door for fresh discussions. He stressed that both nations understand their mutual interests and will work to resolve disputes.
Looking ahead, Brende acknowledged that Trump’s return to the presidency may bring new trade challenges. But he noted that Trump often uses tariffs as a tool to negotiate, which could lead to broader deals.
Brende also said India’s services and manufacturing sectors make it an essential partner for the US in Asia. He downplayed the impact of tariffs on India’s economy, estimating only a 2% effect on GDP, and added that oil imports from Russia remain a manageable issue.
