Trump warns India of additional tariffs amid rice dumping claims
Trump issued the warning during a Monday meeting at the White House with American farmers, who argued that India and Canada were flooding the US market with rice and fertilizers, undermining domestic producers.
“Why is India allowed to do that?” Trump asked Treasury Secretary Scott Bessent. “They have to pay tariffs. Do they have an exemption on rice?”
He was informed that two of the most prominent rice labels sold in US stores originate from India.
“All right, and we’ll take care of it,” he replied. “That’s great. It’s so easy… Tariffs, again, solves the problem in two minutes.”
“They shouldn’t be dumping... I mean, I heard that, I heard that from others. You can’t do that,” Trump added.
According to industry data referenced in reports, India remains the world’s leading rice producer and dominates global exports with more than 30% of the market for 2024–2025. The country shipped roughly 234,000 tons of rice to the United States in the 2024 fiscal year.
Although the US grows less than 2% of the world’s rice, it still functions as a significant exporter, responsible for about 5% of global annual rice trade. At the same time, it imports around 1.3 million tons each year.
Washington has already placed a 50% tariff burden on Indian goods, described in reports as partly reciprocal and partly imposed in response to India continuing to buy oil from Russia.
Trump’s new warning coincides with a visit to India by the US under secretary of state for political affairs, aimed at easing diplomatic strains following recent trade friction.
Indian officials have expressed confidence that a trade accord could be finalized before the year concludes. The country’s chief trade negotiator noted in November that discussions were advancing positively. As stated by reports, the US remains India’s largest export destination, accounting for roughly $52 billion in shipments during the first seven months of the current fiscal year.
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