Modi-Trump Friendship Tested: How US Tariffs and Visa Hikes Hit Indian Jobs and Exports Hard

Modi-Trump Friendship Tested: How US Tariffs and Visa Hikes Hit Indian Jobs and Exports Hard

September 27, 2025

Remember when PM Modi called Donald Trump his "special friend" in 2023? The world cheered this seeming bromance, expecting booming ties between India and the US. But fast forward to 2025, and that friendship is facing a harsh reality check — and ordinary Indians are feeling the pain. When Trump took office, many in India were happy, thinking his right-wing, business-friendly style matched Modi’s India perfectly. Media showed Modi at Trump's inauguration and their warm gestures as proof of a strong bond. But as the saying goes, “Foreign policy can't depend on personal chemistry.” Trump’s "Make America Great Again" mantra put American interests first. For him, friendship meant nothing if it didn't benefit his voters. So what hit India hard? The first big shock was tariffs. Starting mid-2025, Trump slapped a jaw-dropping 25% duty on Indian goods — and soon doubled it to 50%! Now, most Indian exports including jewellery worth $32 billion, textiles employing 45 million people, leather products, shrimp, and car parts face huge tariffs. This puts India alongside Brazil as the costliest partner for US trade. Competitors like Bangladesh and Vietnam got easier entry, while India’s exports got priced out. Orders dried up, the rupee weakened, and worries about the economy grew loud. Then came the second blow—the H-1B visa fees. The H-1B visa, started in 1990, lets US firms hire skilled workers from abroad when local talent is low. Indians have been the top users, getting 71% of approvals in 2024. IT firms like TCS, Infosys, Wipro, and Cognizant have used this program to send hundreds of thousands of engineers to America, creating a win-win for both countries. But Trump changed the rules overnight with a $100,000 fee for new petitions starting September 21, 2025. Small and big firms alike are shocked. For example, Amazon faces billions if they continue as before. This move doesn't just hit exports—it hits Indian dreams and ambitions. How did India get trapped? First, it trusted personal diplomacy too much, believing friendship would protect Indian interests. Second, it relied heavily on the US market without enough trade partners elsewhere. Third, India reacted too late when tariffs warnings were clear. Lastly, India did not prepare to keep its tech talent at home by improving universities and startups, blindly depending on the H-1B route. Today, India faces a tough fight. Trump may increase tariffs or add more categories unless India makes big concessions. The IT sector also faces a possible new 25% tax on outsourcing payments, adding to the strain. So, what now? India must negotiate wisely, offering some tariff cuts but not desperate deals. It should diversify trade with the EU, UK, ASEAN, Africa and Latin America to reduce risks. Investment in education, research and startups can keep talent at home. Joining forces at WTO and with other countries can help push back against unfair policies. The lesson? Strategy beats friendship in world politics. Modi and Trump both are unpredictable, but India cannot afford to misread America’s protectionist wave again. The months ahead will prove if India can turn reactive diplomacy into strong, smart resilience. Meanwhile, Indian workers, exporters, and families watch carefully as this saga unfolds, hoping their dreams don’t get crushed in this powerful political drama. Before you go, a quick note: Imagine your private moments caught secretly on hidden cams and sold without your knowledge. At The News Minute, we are launching a bold series exposing this creepy black market. Investigative journalism takes courage and your support. Join us, subscribe, and help bring these dark truths to light!

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Tags: Modi-trump friendship, India-us trade, H1b visa fees, Indian exports, Us tariffs, Make america great again,

Maribel Roberie

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