This week, global headlines focused on the US’s new tariff pressures on India, escalating tensions between Washington and Moscow, and Canada’s significant move towards recognizing a Palestinian state.
India Navigates Trump’s Tariff Storm
India is facing a new challenge as former US President Donald Trump announced a 25% tariff on its goods. This move, potentially a “penalty” for India’s defense and energy imports from Russia, also includes a 10% BRICS tariff.
Economists warn these tariffs could reduce India’s GDP growth by 0.2-0.3 percentage points, impacting sectors like textiles and electronics. Despite these pressures, India maintains a pragmatic stance, prioritizing its national interests and aiming for a fair, mutually beneficial trade agreement with the US.
New Delhi has already made efforts to address trade imbalances, lowering some import duties and increasing purchases of US defense and energy products. India’s oil imports from the US notably surged by over 270% in the first four months of 2025. However, Trump’s latest tariffs place India at a disadvantage compared to allies like the UK (10%), the EU, and Japan (15%), which contradicts the broader trend of growing US-India cooperation.
US-Pakistan Reset Raises Eyebrows in Delhi
Adding to India’s concerns, Trump announced a deal with Pakistan to develop its oil reserves, suggesting Pakistan could someday sell oil to India. He also significantly lowered Pakistan’s tariff rate from 29% to 19%.
This renewed closeness between the US and Pakistan, including high-level engagements like Pakistan Army Chief’s visit to the White House, has prompted introspection in India. Delhi observers feel that Pakistan strategically invested in cultivating ties with the Trump camp, possibly influencing these decisions.
US and Russia: Nuclear Tensions Escalate
Tensions between the US and Russia have sharply increased. Following what he called “foolish and inflammatory statements” from former Russian President Dmitry Medvedev, Trump ordered two nuclear submarines to move closer to Russia.
Trump also issued a strict deadline for Russia to agree to a ceasefire in Ukraine, threatening new tariffs on Russia and its oil buyers, including India and China, if the deadline is not met. Additionally, the US and NATO are reportedly exploring new ways to fund weapons supplies for Ukraine.
However, Moscow shows no signs of backing down. Russian President Vladimir Putin stated that the war’s momentum is in Russia’s favor, and peace talks remain stalled as Russia demands territorial concessions, which Ukraine rejects.
Gaza Faces Famine Amid Statehood Debates
The humanitarian crisis in Gaza continues to worsen, with reports of widespread starvation and a “worst-case scenario of famine.” This comes as Western nations, including Canada, France, and the UK, signal their intent to recognize a Palestinian state.
While these moves are seen by some as a genuine step towards a two-state solution, others interpret them as a pressure tactic on Israel to accept a ceasefire. Critics point out that despite growing international calls, Israel has faced little restraint in its ongoing deadly attacks in Gaza.
The conflict has resulted in devastating casualties, with tens of thousands killed and wounded in Gaza. Aid distribution efforts remain contentious, with organizations like the Israeli-backed Gaza Humanitarian Foundation (GHF) facing severe criticism for operating a “flawed, militarized aid distribution system” that has led to violence against aid seekers.
- India is adopting a pragmatic, national interest-first approach to counter new US tariffs.
- The US is increasing pressure on Russia, including moving nuclear submarines and threatening tariffs.
- Canada, France, and the UK are moving towards recognizing Palestinian statehood amidst a dire humanitarian crisis in Gaza.
As these global events unfold, the international community watches closely to see their ripple effects on geopolitics and humanitarian efforts worldwide.
