Trump's India Deal: A Dollar Defense Strategy, Not Just Trade

• US President Donald Trump's trade deal with India, cutting tariffs from 50% to 18%, is primarily driven by US anxiety over dollar dominance, not Indian agriculture or Russian oil.
• The deal aims to counter de-dollarization trends, particularly Brics initiatives and the India-EU FTA, which integrate UPI with Europe's TIPS for non-dollar payments.
• India's potential offer to 'go slow' on de-dollarization efforts, like the 'Brics currency' discussions, likely influenced Trump's decision to reduce tariffs.
• The timing of the US-India deal, weeks after the India-EU FTA, suggests a move to bind India to dollar-denominated US trade and undercut the EU pact's momentum.
• The agreement secures $500 billion in Indian purchases of US energy, tech, and agriculture, reinforcing dollar circuits and containing India's Brics-EU de-dollarization vectors.