"Indian intransigence" about opening its markets to American products, says US Economic Council Director as 50% tariff kicks in

Following Washington's 50 per cent tariffs on Indian goods coming into effect earlier on Wednesday, US National Economic Council Director Kevin Hassett noted India's "intransigence" to open its markets to American products while describing the current India-US relationship as a "complicated" one.

Speaking to US Media during a White House gaggle, Hassett linked the US tariffs imposed on India to broader geopolitical efforts to pressure Russia over the Ukraine conflict.

"I think it's a complicated relationship. Part of it has been tied to the pressure we've been trying to put on Russia in order to secure a peace deal and save millions of lives. And then there's the Indian intransigence about opening their markets to our products," Hassett said.


His remarks came after Washington's 50 per cent tariffs on Indian imports to the US took effect earlier today, following a draft notice published by the US Customs and Border Protection (CBP), which stated that the order would take effect on August 27.

According to the notice, the additional duties are being imposed to give effect to the President's Executive Order 14329 of August 6, 2025, which specifies a new rate of duty on imports of articles that are products of India.

The additional 25 per cent tariffs by the US, bringing the tariff to 50 per cent, were imposed due to India's purchase of Russian oil.

Hassett framed the trade negotiations as a marathon with inevitable ups and downs, advising a long-term perspective.

"When you look at trade negotiations, one lesson we've all learnt is that you need to keep your eyes on the horizon and recognise that there are going to be ebbs and flows before we reach the final position," he noted.

However, he hinted at a potential hardline stance from US President Donald Trump, adding, "And if the Indians don't budge, I don't think President Trump will need it," suggesting escalating pressure if India remains firm.