Following U.S. President Donald Trump's announcement of increased tariffs against several countries, including India, lawmaker Raghav Chadha suggested that the Indian government should withhold Starlink services as leverage against the U.S.
U.S. Tariff Rates on Indian Goods
Raghav Chadha, a member of the Aam Aadmi Party, expressed concerns about the 26% tariffs imposed by the Trump administration, noting that this could result in a GDP loss of 50-100 basis points and diminish India's competitive advantage in the global marketplace.
Raghav Chadha's Recommendations
During a parliamentary session, Chadha called on the Indian government to consider withholding approval for Elon Musk's Starlink until the U.S. renegotiates the tariffs. He articulated that Starlink, as a prominent U.S. enterprise, could be leveraged in negotiations.
Context and Impact of Starlink in India
Starlink has previously come under scrutiny from the Indian government for refusing to share user data during a significant drug bust by the Indian Coast Guard. Despite its eagerness to launch services in India, Starlink has yet to obtain the necessary license from the Indian authorities.
Chadha's suggestions highlight the increasing tension in trade relations between India and the U.S., particularly in light of the newly imposed tariffs. Utilizing Starlink as a bargaining tool may represent a significant step in the strategy to address these economic challenges.
