Modi Meets Xi and Putin in China Amid US 50% Tariffs on Indian Exports

Modi Meets Xi and Putin in China Amid US 50% Tariffs on Indian Exports

The Business Daily Desk

Published : 22:06, 29 August 2025

Prime Minister Narendra Modi has arrived in China for his first visit in seven years, attending the Shanghai Cooperation Organisation (SCO) summit from August 31 to September 1. This high-profile occurrence marks his first face-to-face engagement with Chinese President Xi Jinping since the 2020 border clash and underscores India’s expanding outreach amid mounting economic pressure from the United States.
The visit coincides with a dramatic escalation in US-India tensions: the Trump administration has imposed sweeping 50% tariffs on Indian exports, citing India’s ongoing purchases of Russian oil, measures Delhi deems unfair and contrary to its strategic autonomy. These tariffs threaten Indian exports worth up to US$60 billion, especially in textiles, gems, leather goods, machinery, and marine products, triggering economic concerns that could ripple across markets.
Modi’s presence at the summit positions India alongside both Xi and Russian President Vladimir Putin, projecting a calculated diplomatic response to Western pressure. Analysts view the optics as deliberate: a demonstration of solidarity and resilience, aligning India with emerging power centers at a time when its US ties are in turmoil.
The summit offers critical opportunities for India to diversify its partnerships, reviving ties not only with its Asian neighbor but also with Russia. It also complements Modi’s recent outreach to Japan, where deepening investments and strategic collaboration are laying the groundwork for economic alternatives amid American trade friction.
At a time when India confronts rising costs, rupee depreciation, and downturns in equity markets, the SCO engagement suggests a multi-alignment strategy designed to buffer against economic fallout and to balance global partnerships.

Sources: The Guardian, Reuters, India Times. 

BD/AN

Share:
Advertisement