In the wake of what is termed an unexpected stall in what was once a promising India–US trade agreement, the Government of India has issued a measured response, acknowledging recent remarks by the US President and reaffirming its commitment to securing India’s economic interests.

In response to the US tariff, the government has said that it will take all necessary steps to secure the country's national interest.

U.S. President Donald Trump said a trade deal with India has yet to be finalised and warned of possible higher tariffs ahead of an August 1 deadline to seal an agreement.