Jairam Ramesh questions steep US solar tariff, urges rethink of India-US trade pact

Although Ramesh did not reference an official notification, his remarks come amid growing political debate over the scope and fairness of the bilateral trade arrangement between New Delhi and Washington.

Jairam Ramesh questions steep US solar tariff, urges rethink of India-US trade pact

File Photo: IANS

Senior Congress leader Jairam Ramesh on Wednesday launched a sharp attack on the reported decision by the United States to impose a 125.87 per cent duty on solar module imports from India, terming the move “extraordinary” and casting doubt on the credibility of the India-US trade agreement.

In a post on X, Ramesh wrote, “It is quite extraordinary that the US has just imposed 125.87% duty on imports of solar modules from India. What does this say of President Trump’s commitment in letter and spirit to the India-US trade deal so much praised and applauded by his good friend in New Delhi as opening doors for India’s exports to the US?”

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Although Ramesh did not reference an official notification, his remarks come amid growing political debate over the scope and fairness of the bilateral trade arrangement between New Delhi and Washington. He alleged that the agreement, promoted by the government as a boost for Indian exports, is skewed in favour of the United States.

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“Actually, the deal is distinctly one-sided. India’s imports from the US will be freed up but exports to the US will be subject to the whims and fancies of the US President,” he said.

The criticism is widely seen as directed at Prime Minister Narendra Modi, who has repeatedly described deeper economic engagement with the United States as a major opportunity for Indian businesses and farmers. Modi has also maintained a cordial public relationship with US President Donald Trump, frequently highlighting the personal rapport between the two leaders.

The Congress party has consistently argued that ongoing trade negotiations lack transparency and sufficient safeguards for sensitive domestic sectors.

Ramesh called for decisive action in response to the reported tariff hike, urging the government to reconsider its position. “There is only one way forward. India must be bold and put the deal on hold,” he stated. “The deal as it stands will be singularly disastrous for lakhs and lakhs of farmers across the country.”

His reference to farmers echoes longstanding opposition concerns that greater market access for US agricultural products could adversely affect Indian farmers, particularly in sectors such as dairy, pulses, and oilseeds.

India–US trade ties have expanded substantially over the past decade, with bilateral trade in goods and services crossing $190 billion in recent years. However, the relationship has also witnessed periodic disputes over tariffs, subsidies, digital trade regulations, and market access.

The solar sector has been a recurring point of contention. The United States has previously initiated anti-dumping and countervailing duty investigations against several countries, including India, citing alleged unfair subsidies and pricing practices in renewable energy products. India, meanwhile, has sought to strengthen domestic solar manufacturing under its clean energy push and the “Make in India” initiative.

Government officials have yet to formally respond to Ramesh’s statements. It also remains unclear whether the reported 125.87 percent duty constitutes a fresh blanket tariff or arises from specific trade remedy measures under US law.

As political reactions intensify, the issue could complicate ongoing efforts to broaden and stabilize the India–US economic partnership.

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