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New Delhi: India is bracing for the impact of new US tariffs, with experts warning of the economic and political consequences of an unprecedented duty on exports, marking one of the highest tariffs the US has ever imposed on a major trading partner.

In an unexpected move last week, US President Donald Trump imposed an additional 25 percent tariff on Indian goods, citing New Delhi’s purchases of Russian oil. His Deputy Chief of Staff Stephen Miller said the oil imports amounted to “financing” Russia’s invasion of Ukraine.

The move increased the total duty on Indian exports to 50 percent. While India’s Ministry of External Affairs vowed to “take all actions necessary to protect its national interests,” experts do not see much room for negotiations, as the tariff regime is set to take effect next month.

“It will have economic repercussions if things are not changed. Fifty percent is a lot, and it will affect us. Right now, there is an exemption for pharmaceuticals, but in other areas, there will be an impact,” Manoj Joshi, distinguished fellow at the Observer Research Foundation, told Arab News.

“We don’t have much leverage. We don’t have many options. The US is the one taking these actions, so unless and until the US withdraws these taxes, there is not much India can do.”

The US and India have been in tariff talks since the beginning of the year, in the wake of the US ongoing global tariff campaign. Prime Minister Narendra Modi made a personal visit to Washington, D.C., in February to meet Trump and discuss strengthening bilateral ties, trade relations, and the procurement of new US weapons and aircraft.

In April, the Trump administration imposed a 25 percent reciprocal tariff on Indian goods in response to India’s continued purchases of Russian oil and to rectify trade imbalances. A new deal was expected in July, but Trump did not approve it, leading to a breakdown in talks.

The US threatened to increase tariffs on India if it were not given broader access to several key sectors, including automobiles, steel, aluminum, and dairy products — a concession New Delhi resisted.

“India is not going to compromise on agriculture and dairy products. India will find it very difficult to stop buying Russian oil. There is not much room for any kind of concessions from India’s side,” Joshi said.

The US is India’s largest export market, accounting for 18 percent of its exports and 2.2 percent of its gross domestic product. The latest estimates by Indian economists suggest that the new tariff could reduce GDP by 0.2 to 0.8 percentage points.

It could also have an impact on India’s global standing.

After emerging as a new superpower when it hosted the G20 Summit in 2023 and over the past few years betting everything on its strategic partnership with the US, India may now be forced to recalibrate its relations, including with its rival China.

India is a member of the QUAD — Quadrilateral Security Dialogue — a forum that also includes the US, Japan, and Australia and focuses on regional security and cooperation in the Indo-Pacific region.

India’s engagement with the bloc has increased in recent years, shifting from its earlier engagement with BRICS — a grouping that includes also Brazil, Russia, China, and Indonesia, and is the most powerful geopolitical forum outside of the Western world, accounting for 45 percent of the world’s population and 35 percent of its economy.

In the wake of tensions with the US, Modi is expected to visit China for a summit of the multilateral Shanghai Cooperation Organization and meet Chinese President Xi Jinping in late August. This will be his first official trip to China in over six years. The last visit took place before the 2020 Galwan Valley border clashes, which significantly strained India-China ties.

Modi’s office said on Saturday that he had invited Vladimir Putin to visit Delhi by the year’s end. It would be the Russian president’s first trip to India since December 2021.

“Consequences would be there so long as Trump is there. But the whole episode has exposed the leadership of India,” said Mohan Guruswamy, policy analyst specializing in economic and security issues.

“India has been ignoring its traditional allies. It has been pursuing QUAD and trying to appease the US, forgetting China and Russia. It has been pursuing the US and calling them strategic allies, and now the US has given it a shock.”

LONDON: Amnesty International has branded reports that police in the UK arrested 474 people at a Palestine Action protest “deeply concerning.”

It comes after a demonstration was held in Parliament Square in central London in support of the group, which was banned by the UK government earlier this year as a terrorist organization.

The Metropolitan Police said it was the largest spate of arrests it had made at a single event in over a decade, and that 466 people at the protest were arrested under the Terrorism Act.

Sacha Deshmukh, Amnesty International’s UK chief executive, said: “The protesters in Parliament Square were not inciting violence and it is entirely disproportionate to the point of absurdity to be treating them as terrorists.

“Instead of criminalizing peaceful demonstrators, the government should be focusing on taking immediate and unequivocal action to put a stop to Israel’s genocide and ending any risk of UK complicity in it.”

Those arrested included healthcare professionals, a blind wheelchair user, and former Guantanamo Bay detainee Moazzam Begg.

Many of the protesters were silently holding placards stating: “I oppose genocide. I support Palestine Action.”

The group behind the protest, Defend Our Juries, said around 700 people attended the event and that they posed “no danger to the public at large.”

Elsewhere, a woman was arrested in Belfast, Northern Ireland, for wearing a T-shirt supporting Palestine Action. The woman was detained while attending an anti-racism protest, where she was filmed being taken by police officers on suspicion of “possessing an article, namely a sign or T-shirt, that indicates support for Palestine Action.”

Patrick Corrigan, Northern Ireland director of Amnesty International UK, said: “Many people are justifiably angered by the ongoing genocide in Gaza and are concerned about UK complicity. Under international human rights law, they have every right to voice their concerns.

“The individual who joined a Refugees Welcome rally in Belfast was not promoting violence, and it is wholly disproportionate for the PSNI to treat her as a terrorist.

“UK terrorism laws pose a serious risk to free expression. Rather than targeting peaceful protesters, the government should be taking swift and decisive measures to end Israel’s genocide.”

Under UK terrorism legislation, membership of or support for a proscribed group is a criminal offense carrying a prison sentence of up to 14 years.

Palestine Action was banned following a series of break-ins at secure facilities in the UK, including one in which activists caused criminal damage to military aircraft at a Royal Air Force base in the town of Brize Norton.