Why Reuters, Bloomberg, and the Western media need to stop salivating about India's Trump-induced economic collapse

Over the past few days, the dominant narrative in Western news media, including and especially outlets like Reuters and Bloomberg, has been alarmingly biased in their coverage of the new tariffs imposed by the Trump administration on Indian goods. 

Their reporting doesn’t read like neutral analysis—it reads like an extension of the U.S. negotiating team. They've practically asserted that the trade talks have 'collapsed' and India's negotiators are responsible for it. They have, by turns, benignly pointed out why stopping buying Russian oil and agreeing to Trump's trade deal would be better for India; and then, almost-threatened that not agreeing to a deal will have wider repercussions, including on Indian professionals' immigration and offshoring by US companies; -- all the while trying to distract from the obvious fact that Europe and China have been importing larger amounts of natural resources (either by value or volume or both); that India needs to protect its labour-intensive sectors (that employ tens of millions of Indians); that India could be Trump's soft target to indirectly coerce Russia to a peace deal; or that the Trump administration could simply be ego-kicking India......


Let’s be clear: Trump’s 25% tariff hike on Indian goods might grab headlines, but its real impact on the Indian economy is far more limited than what media fear-mongers would like you to believe.


Limited Real-World Impact on India

India’s economy is largely domestic consumption-driven. Exports to the United States make up only a modest percentage of India's GDP. Even in the worst-case scenario, the Indian economy may see a temporary dip of about 0.5 percent in GDP growth—not the economic calamity the U.S. media pretends it to be.

Yes, some sectors like garments, gems, and auto parts will feel pressure, but these industries have shown resilience through far tougher global conditions. With strong government incentives and a shift toward self-reliance, India has the tools to adapt.


Who Really Has More to Lose?

Let’s flip the lens: American companies stand to lose heavily if economic ties with India sour further. India is one of the fastest-growing markets for U.S. oil and gas, aircrafts (both civil and military), e-commerce, entertainment, luxury goods, and more. That’s the reason so many U.S. firms—from Amazon to Boeing—have been lobbying Washington for a stable trade deal with India.

A full-blown trade standoff could hurt their market access just as India diversifies its exports to other markets, aided by increasing number of FTAs -- which India has been proactively negotiating with many markets over the last two years. India also has options for alternative supply chains and tech ecosystems with partners like France, UAE, Japan, and Southeast Asia.


The Geopolitical Blind Spot

What U.S. media outlets deliberately avoid discussing is the geostrategic cost of strong-arm tactics. The more Trump (and his media loyalists) try to bully India into submission—whether over Russian oil or trade terms—the more they push India closer to Russia, China, and the BRICS bloc.

India has been walking a careful diplomatic tightrope, but it won’t tolerate coercion forever. In fact, this pressure could accelerate:-

Greater cooperation in BRICS+ trade frameworks

Development of an alternative international currency and banking infrastructure

Defense and energy diversification away from U.S. platforms


What Western Media Won’t Say

You won’t hear any of this from Bloomberg or Reuters:-

That Europe and China import more Russian oil than India, yet face no such threats

That India’s energy security can’t be a bargaining chip in someone else’s geopolitical game

That India’s negotiators aren’t stubborn—they’re just unwilling to sell out millions of livelihoods in agriculture, dairy, and labor-intensive sectors


Conclusion: India's Stand Isn’t Defiance. It’s Maturity.

India isn’t reacting emotionally. It’s responding with strategic patience and calibrated counter-steps. That’s more than can be said for Trump’s impulsive tariff hammer or the media cheerleaders enabling it.

India cannot to be threatened into cooperation. It needs to be treated as what it is: a rising power charting its own course, not through "non-alignment" (as was the case in the Cold War), but through multi-alignment -- for a more just, inclusive, and equitable world order.

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