New Delhi, Feb 21: The India-US trade deal row intensified after the US Supreme Court struck down President Donald Trump’s global tariff regime, prompting sharp remarks from Congress leader Rahul Gandhi, who alleged that Prime Minister Narendra Modi was “compromised” and had subjected the country to an unfair agreement.
In a post on X, Gandhi said the prime minister’s “betrayal now stands exposed” following the court’s decision to invalidate the sweeping tariffs. He claimed the government would be unable to renegotiate the terms and accused it of repeated “surrender”.
The criticism follows a 6-3 ruling by the US Supreme Court, authored by Chief Justice John Roberts, which held that Trump had exceeded his authority in imposing broad-based tariffs under the International Emergency Economic Powers Act (IEEPA). After the judgment, Trump announced a temporary 10 per cent import surcharge for 150 days, effectively reducing tariff levels from 18 per cent.
Congress general secretary Jairam Ramesh alleged that the trade understanding announced on February 2 was driven by political considerations. He questioned why the agreement was revealed overnight and suggested that waiting for the court’s verdict could have protected farmers and national interests.
Ramesh also referred to Trump’s remarks that his relationship with Modi remained strong and that the bilateral trade arrangement would continue despite the ruling. The US president reiterated that India would pay tariffs while the United States would not, describing the revised pact as “fair”.
Randeep Surjewala, another Congress general secretary, raised concerns over the sustainability of the revised tariff measures imposed under Section 122 of the US Trade Act, 1974. He asked whether the framework agreement would hold in light of the court’s observations and whether the government would reconsider commitments related to imports, agriculture, energy purchases and digital policy.
The party also questioned provisions reportedly involving increased American exports and changes to non-tariff barriers, arguing that such steps could affect domestic industry, farmers and data security.
Earlier this month, Washington and New Delhi announced a framework for an interim trade agreement. As part of that understanding, the US removed punitive tariffs linked to India’s purchase of Russian oil, while reciprocal tariff rates were reduced from 25 per cent to 18 per cent.
Despite the Supreme Court ruling, Trump said there would be “no change” to the arrangement with India, maintaining that the revised tariff structure remains in place.
The Centre has so far maintained that the agreement protects national interests, while the Congress continues to demand clarity on its long-term implications.