Linking trade measures with non-trade matters would not help the global economy, said External Affairs Minister S Jaishankar on Monday amid increasing concerns about the United States imposing tariffs on exports from several countries, including India.

Speaking at a virtual meeting of the BRICS leaders convened by Brazilian President Luiz Inacio Lula da Silva, Jaishankar said that trade patterns and market access are “today prominent issues in the global economic discourse”.

“The world requires constructive and cooperative approaches to promote trade that is sustainable,” said the minister. “Increasing barriers and complicating transactions will not help. Neither would the linking of trade measures to non-trade matters.”

The BRICS grouping comprises India, Brazil, Russia, China, Saudi Arabia, South Africa, Egypt, Ethiopia, Indonesia, Iran and the United Arab Emirates. Washington views the group as attempting to become an economic counterweight to the US.

Jaishankar’s statement came against the backdrop of the US imposing 50% tariffs on India and Brazil.

The Donald Trump administration had announced on August 6 that it would double the tariffs on Indian goods to 50% for purchasing Russian oil. A 25% so-called reciprocal tariff had already taken effect.

The US president has repeatedly alleged that India’s imports were fuelling Russia’s war in Ukraine.

In his remarks, the external affairs minister called for BRICS countries to “set an example by reviewing trade flows among its member states”.

“Where India is concerned, some of our biggest deficits are with BRICS partners and we have been pressing for expeditious solutions,” said Jaishankar. “We hope that this realisation will be part of the takeaways from today’s meeting.”

India’s trade deficit with China stands at around $100 billion.

In view of this, Jaishankar told the BRICS member countries that India believes the principles of “open, fair, transparent, non-discriminatory, inclusive, equitable and a rules-based approach with special and differential treatment for developing countries”, which the international trading system is based on, should be “protected and nurtured”.

He also called for an urgent resolution of ongoing conflicts.

“The Global South has experienced a deterioration in its food, energy and fertiliser security,” said the minister. “Where shipping is targeted, not just trade but livelihoods also suffer. Selective protection cannot be a global answer.”

This comes days after the Ministry of External Affairs stated that the relationship between the US and India is very important for New Delhi.

“Both our countries share a comprehensive global strategic partnership,” said ministry spokesperson Randhir Jaiswal on Friday. “This partnership has weathered several transitions and challenges…and we hope that the relationship will continue to move forward based on mutual respect and shared interests.”

He added that talks between the two countries were ongoing and that New Delhi was committed to strengthening the partnership.


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