Renowned economist Jeffrey Sachs has delivered a timely—and blunt—wake-up call on India’s expectations from its ties with the United States. In a recent Hindustan Times podcast, Sachs cautioned that India may be deluding itself if it believes Washington sees India as a true, strategic partner. He points to tangible actions, not just political rhetoric: prolonged trade negotiations, sudden tariff hikes on Indian goods, and a reluctance by US policymakers to advance agreements that serve India’s long-term growth.
Sachs argues that, despite the symbolism and friendly photo-ops, US politicians prioritize America’s global dominance and self-interest over genuine partnership. “They don’t care about India’s future,” he notes, referencing recent episodes like the Trump administration’s sharp tariff escalations targeting Indian exports. These, according to Sachs and echoed in recent business media, are clear reminders of how quickly US policy can turn transactional, especially when election cycles or economic headwinds hit.
The China Factor: Rethinking Supply Chains and Alliances
One of India’s bets in recent years has been to reduce its dependence on China by integrating more deeply into US-led supply chains. Sachs, however, argues this expectation is misplaced. Leaders like Trump, he says, have shown through both words and policies that deep, long-term economic partnerships rank low on the US agenda. Washington’s worldview is still rooted in legacy ideas of dominance, not in building fair, resilient global production networks—and certainly not in handing strategic leverage to Asian partners.
This lines up with recent coverage in Indian business dailies: the Biden and Trump administrations alike have both ramped up tariffs and taken a hard line on technology transfer and market access, signaling that US-India economic ties remain fragile and subject to rapid shifts in mood on Capitol Hill.
Quad and Security: Don’t Pick Sides, Build Multipolar Ties
Sachs extends his warning to security policy as well. He is skeptical about India relying too heavily on the US-led Quad alliance (US, India, Japan, Australia) to hedge against China. Instead, he urges a “multipolar” approach—cultivating respectful ties with all major powers including Russia and China. The implication: India’s security cannot—and should not—be outsourced to any single bloc or superpower prone to abrupt policy changes and election-year signaling.
What Should India Do?
Sachs’s message resonates amid India’s current challenges with higher US tariffs, a volatile energy market influenced by US sanctions policies, and fluctuating signals on key tech and defense partnerships. For Indian policymakers, the lesson is clear: focus obsessively on national interests, deepen relationships across the international spectrum, and never hinge India’s future on any one foreign power’s favor.
Check his podcast with The Hindustan Times:
