Economist Velasco Warns U.S.: Mistreating India Is a Strategic Blunder

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Economist Andres Velasco, currently serving as Dean of the School of Public Policy at the London School of Economics, has sharply criticized the U.S. tariff strategy toward India. He labeled the approach as “irrational, unpredictable, and illegal,” warning that mistreating a democratic partner like India would be a grave strategic error for Washington.

Velasco emphasized that India is ascending in global influence and that the United States would jeopardize its strategic interests if it strains ties with New Delhi. He argued that punitive trade measures could backfire, driving India to seek new alliances and reduce its reliance on traditional Western partners.

In his commentary, Velasco urged India to double down on economic reforms—especially in reducing non-tariff barriers and streamlining its tax and regulatory systems. He sees such internal changes as crucial for India to sustain growth and leverage geopolitical shifts. At the same time, Velasco suggested that U.S. policy should be recalibrated to respect stable partnerships rather than alienate key allies.

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