India did not bow to tariff pressure, made win-win trade deals with many countries

The year 2025 was the year of trade deals, and India performed exceptionally well. When US President Donald Trump refused equitable trade deals and imposed tariffs to pressure several countries, including India, India chose to trade openly. 

India signed agreements with several countries and initiated negotiations with many others. In a time of global geopolitical tensions, disrupted supply chains, and the weaponization of tariffs, India's trade policy appeared more confident than ever.

While the US under Trump tried to force bilateral agreements quickly by imposing tariff pressure, India neither showed haste nor compromised on its policies. In contrast, India swiftly concluded trade deals with New Zealand, Oman, and the UK, demonstrating its commitment to making decisions that are no longer reactive, but are taking long-term national interests into account.

India did not bow to pressure

In 2025, the US rushed to conclude a trade deal and used tariffs as a tool of pressure. Higher duties were imposed on Indian exports and penalties were threatened for energy trade with Russia. The clear objective was to quickly secure concessions from India in sensitive sectors like agriculture and dairy.

But India did not budge. The government made it clear that any agreement would be based on the country's economic realities and food security. 

India categorically refused to open up the dairy sector, which employs millions of small farmers. This was not a mere procrastination, but a sound strategic decision. Similarly, haste was avoided in the agricultural sector.

Where there was respect, there was compromise.

Unlike the US, negotiations with New Zealand, Oman, and the UK were conducted without pressure. The agreement with the UK was balanced, taking into account the interests of Indian professionals, the service sector, and manufacturing. 

The agreement with New Zealand ensured that India's agriculture and dairy sector were not adversely affected. The deal with Oman strengthened India's supply chain and energy security in the Gulf region. Trust was a key feature of all three agreements. There was no coercion or artificial deadlines.

India's strategy: Keeping options ready

India no longer wants to be dependent on a single market. Negotiations with the European Union, Peru, Chile, GCC countries, and Canada are part of this thinking. This reduces the pressure on India from any single country and increases strategic independence.

The Indian way of dealing

India is not distancing itself from the US. Negotiations are ongoing, but the equations have changed. Successful deals with other countries have made it clear that the US market is not essential at all costs. 

India's 2025 trade policy demonstrates that toughness and flexibility can coexist. Where there is pressure, India will stand firm. 

Where there is respect, it will compromise. This is India's art of the deal: thoughtfully, at the right time, and with long-term benefits in mind.

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Donald Trump