Mon Oct 13 02:50:00 UTC 2025: **Summary:**
Following the U.S.’s imposition of 100% tariffs on Chinese goods in response to Beijing’s export controls on rare earths, Indian trade expert Ajay Srivastava advises India to prioritize self-reliance and balanced relationships with both Western and BRICS nations. He warns that trade deals with the U.S. are not final and emphasizes the need for careful and equal negotiations. This comes amid stalled negotiations between India and the U.S. for a Bilateral Trade Agreement.
**News Article:**
**India Urged to Prioritize Self-Reliance Amidst US-China Trade Volatility**
**New Delhi, October 12, 2025:** As the trade war between the U.S. and China escalates, India is being urged to prioritize self-reliance and diversify its economic alliances. Former Director General of Foreign Trade, Ajay Srivastava, warns that the recent U.S. decision to impose 100% tariffs on Chinese goods underscores the unreliability of trade agreements with Washington.
The U.S. move, a response to China’s export controls on rare earths, has raised concerns globally. China controls over 70% of global rare-earth refining capacity. The move to control exports is seen as retaliatory.
“For India, the message is clear: no deal with the U.S. is ever final,” stated Mr. Srivastava, founder of the Global Trade Research Initiative (GTRI). He pointed to the previous U.S.-China “Phase One” trade deal as evidence of the instability of such agreements.
Srivastava advises India to focus on building its own capabilities in critical technologies and minerals to insulate itself from future trade shocks. He also recommends leveraging India’s neutral position to strengthen ties with both Western and BRICS economies.
India’s own trade negotiations with the U.S. have faced setbacks. A formal round of talks towards a Bilateral Trade Agreement was postponed after the U.S. imposed cumulative 50% tariffs on Indian imports. While recent attempts have been made to thaw relations, the next formal negotiations are yet to be scheduled. Experts believe the latest U.S.-China developments will further influence India’s approach to trade.