A paradigm shift: On India and its trade relations

The Hindu editorial on 16/08/2025 argues that India must urgently undertake a fundamental overhaul of its trade strategy following the imposition of crippling new U.S. tariffs on key exports like seafood and apparel. The government's current response, which involves asking the vital MSME sector to endure the sanctions while considering minor tweaks to the Export Promotion Mission, is portrayed as an admission of a failed diplomatic strategy, highlighting that trade negotiations with the U.S. are deadlocked. The piece contends that this crisis exposes the folly of over-relying on the relationship with Washington. As affected industries, the backbone of India's economy, demand significant government intervention, the editorial concludes that these unprecedented challenges require a drastic new approach, specifically urging the government to refashion its trade ties with neighbouring countries, particularly China, which had been neglected in the unsuccessful pursuit of the American partnership.