Ramdev Demands Boycott as US Tariffs Hit India at 50%

A sharp escalation in tariffs imposed by the United States has prompted yoga guru Baba Ramdev to call for a full boycott of American brands, framing the move as economic coercion. With total duties on Indian exports now at 50 per cent, Ramdev urged citizens to avoid outlets such as Pepsi, Coca‑Cola, Subway, KFC and McDonald’s, warning that such consumer withdrawal could disrupt US markets and force a policy reversal. He condemned the tariffs as “political bullying, hooliganism and dictatorship,” and asserted that no Indian should be seen purchasing from US-based companies.

The intensified tariffs — comprised of an initial 25 per cent and an additional 25 per cent activated on 27 August 2025 — were triggered by the Trump administration’s stance against India’s continued purchase of Russian oil. This brings the combined duty rate to one of the highest levied on any trading partner.

The economic ripple effects are significant. The tariffs cover around 55–66 per cent of India’s $86–87 billion in annual exports to the US, impacting critical industries including textiles, garments, gems and jewellery, furniture, and shrimp. Analysts forecast a substantial contraction in orders, potentially slashing export volumes by 30–70 per cent and putting millions of jobs at risk.

Commerce officials anticipate serious consequences for labour-intensive sectors, while financial markets have responded with caution — equity indices and the rupee have weakened. Domestic policymakers are considering relief packages, export diversification and support schemes for small exporters to mitigate the fallout.

Diplomatic tensions are mounting alongside economic strain. White House trade adviser Peter Navarro signalled that the additional tariffs could be rescinded if India halts its Russian oil purchases—a move Washington sees as indirectly supporting Russia’s war efforts. Modi is poised to travel to China later this month, reinforcing signals of a diversifying external alignment.

Meanwhile, critics within the United States, including members of the House Foreign Affairs Committee, argue the policy is inconsistent—pointing out that China, which purchases larger volumes of Russian oil, has not been similarly targeted—and warn that the tariffs may harm U. S. consumers and bilateral relations.

India’s standing posture emphasises strategic autonomy, with leaders asserting that energy decisions are driven by national interests and economic necessity. Moves to cushion the blow include exploring new markets in Southeast Asia, the Middle East, Africa, and Europe; offering financial incentives to exporters; and reinforcing domestic production capacity.