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Former G20 Sherpa Amitabh Kant calls Trump’s 50% tariff a push for reforms, urges India to act decisively

Amitabh Kant, former G20 Sherpa, calls Trump’s 50% tariff on Indian goods a “once in a generation opportunity”, urging policymakers to use the moment for bold reforms.

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India’s former G20 Sherpa and ex-NITI Aayog CEO Amitabh Kant has described the newly imposed 50% US tariff on Indian goods as a “once in a generation opportunity” to push for critical economic reforms. Despite the potential impact on India-US trade relations, Kant urged policymakers to use the moment strategically rather than see it purely as a setback.

The United States, under President Donald Trump’s leadership, has significantly escalated its trade stance toward India. Following a 25% tariff announced last month, Trump has now introduced an additional 25%, raising the effective tariff to 50% on a wide range of Indian exports.

The revised duty structure came into effect on August 7 at 9:30 am IST for the first phase, while the additional 25% will be implemented after a 21-day period. The move is reportedly a reaction to India’s ongoing procurement of Russian oil and defense equipment, a decision Trump has openly criticized.

In a strongly worded post on his platform Truth Social, Trump stated, “While India is our friend, we’ve done little business with them due to their high tariffs and non-monetary trade barriers.” He further emphasized India’s close energy and defense ties with Russia, calling them “not good” in light of global concerns over the war in Ukraine.

Broad impact across Indian export sectors

The tariff hike will affect a diverse range of Indian exports, increasing the cost of Indian goods in the American market. Products including shrimps, organic chemicals, textiles, apparel (both woven and knitted), gems and jewellery, steel, copper, aluminium, machinery, mechanical appliances, furniture, and bedding will now attract at least 50% tariffs.

Vehicles will face a 26% tariff, while petroleum products will incur a 6.9% duty. This could significantly weaken the competitiveness of Indian exporters in the US market — one of India’s top trading partners.

‘Crisis must be fully utilised’: Kant

Amitabh Kant, reflecting on the development, posted on X (formerly Twitter):

“Trump has provided us a once in a generation opportunity to take the next big leap on reforms. Crisis must be fully utilised.”

Kant’s statement underscores a broader viewpoint that India must respond to global shifts with internal strengthening, including policy shifts that could boost competitiveness, encourage domestic manufacturing, and diversify trade partnerships.

What lies ahead

While the immediate economic fallout may cause friction in India-US trade, experts believe this could also open the door to recalibrating India’s trade strategy. Analysts expect Indian authorities to evaluate both short-term mitigations and long-term structural adjustments in response to the US’s evolving trade policies.

As diplomatic channels work to ease tensions, Kant’s remark has set the tone for India to approach this challenge as a trigger for deeper economic transformation.

India News

Congress, BJP attack Bhagwant Mann over remarks on Punjab blasts

Congress and BJP have jointly criticised Punjab CM Bhagwant Mann after he linked recent blasts near defence sites to political motives, triggering a controversy.

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A political row has erupted in Punjab after Chief Minister Bhagwant Mann linked recent blast incidents to political motives, drawing sharp criticism from both the Congress and the Bharatiya Janata Party (BJP).

The controversy follows two low-intensity explosions reported within a short span of time — one near the Border Security Force (BSF) headquarters in Jalandhar and another close to an army cantonment area in Amritsar. The incidents raised concerns over security, particularly given the sensitive nature of the locations.

In response, Mann suggested that the blasts could be part of a larger political strategy. His remarks triggered a strong backlash, with opposition parties accusing him of politicising a serious security issue.

Leaders from the Congress criticised the Chief Minister’s statement, calling it inappropriate and alleging that such comments undermine the gravity of the situation. They stressed that matters related to national security should be handled with caution and responsibility.

The BJP also joined the criticism, questioning the basis of Mann’s claims and urging the state government to focus on investigation and law enforcement instead of making political allegations.

The developments have led to an unusual moment where both Congress and BJP appear aligned in their criticism of the Aam Aadmi Party-led government in the state.

Meanwhile, the blasts themselves have intensified concerns over safety in border regions, with authorities continuing their investigation into the incidents. No casualties were reported, but the proximity to defence establishments has made the issue particularly sensitive.

The episode has further escalated political tensions in the state, with security and accountability emerging as key points of debate.

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Himanta Biswa Sarma resigns as Assam chief minister, oath ceremony likely after May 11

Himanta Biswa Sarma resigns as Assam Chief Minister after BJP-led NDA’s victory. He will continue as caretaker CM until the new government is sworn in after May 11.

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Assam Chief Minister Himanta Biswa Sarma resigned from his post on Wednesday, paving the way for the formation of a new government after the BJP-led NDA secured a decisive victory in the 2026 Assembly elections.

Sarma submitted his resignation to Governor Lakshman Prasad Acharya at Lok Bhawan in Guwahati. The Governor accepted the resignation and asked him to continue as the caretaker Chief Minister until the new government takes charge.

The resignation comes after the NDA’s strong electoral performance, where the alliance won a clear majority in the 126-member Assembly, ensuring its return to power for another term.

Oath ceremony expected after May 11

Speaking to reporters after submitting his resignation, Sarma said the swearing-in ceremony for the new government is likely to be held after May 11.

He indicated that Prime Minister Narendra Modi has been invited to attend the ceremony but is unavailable until May 11, which has influenced the tentative schedule.

Decision on next chief minister soon

Sources suggest that central observers, including senior BJP leaders, are expected to arrive shortly to oversee the selection of the legislature party leader. The newly elected MLAs will then decide on the next Chief Minister.

Despite the formal resignation, party sources indicate that Sarma is likely to continue in the role for another term, given the BJP’s strong mandate in the state.

The move marks the beginning of the government formation process in Assam following the election results declared earlier this week.

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Rahul Gandhi and Vijay alliance took shape through backchannel talks, early signals from Congress leaders

Congress outreach and political calculations led to Rahul Gandhi and Vijay coming together after the Tamil Nadu 2026 election results.

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The coming together of Rahul Gandhi and actor-politician Vijay in Tamil Nadu after the 2026 Assembly elections was not sudden, but the result of behind-the-scenes political manoeuvring and early signals within the Congress.

According to media reports, some leaders in the Tamil Nadu Congress had already sensed the scale of Vijay’s surge during the campaign, anticipating what was later described as a “wave” in favour of his party.

After the results, where Vijay’s Tamilaga Vettri Kazhagam (TVK) emerged as the single largest party but fell short of a majority, communication channels between the Congress leadership and Vijay quickly became active.

A key moment in this evolving political equation was a phone call from Rahul Gandhi to Vijay, congratulating him on the party’s strong performance. The conversation was seen as more than a courtesy, signalling the possibility of cooperation at a time when government formation required additional support.

Reports indicate that discussions within Congress weighed the political benefits of supporting Vijay, especially given the shifting dynamics in the state where traditional dominance by major Dravidian parties has been challenged.

With TVK needing allies to cross the majority mark, Congress emerged as a potential partner, leading to a broader political realignment in the state. This development also triggered tensions within opposition alliances, highlighting the strategic importance of the decision.

The evolving partnership reflects a mix of electoral pragmatism and changing voter sentiment, particularly the growing influence of younger voters, which leaders acknowledged as a key factor in the election outcome.

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