Lula confirmed his state visit to India in early 2026, when Brazilian leaders began a conversation with Reuters to address US President Donald Trump’s tariff measures.
Major emerging economies groups include China, Russia and South Africa.
In a call, Lula’s office confirmed that both leaders discussed the international economic situation and the unilateral tariffs affecting Brazil and India.
Trump recently imposed a 25% tariff on Indian goods and raised the total tariff to 50%, claiming that India continues to buy Russian oil.
He also imposed similar tariffs on Brazil, affecting sectors such as aircraft, energy and orange juice.
In the conversation, Modi and Lula reiterated their goal of increasing bilateral trade to more than $20 billion a year by 2030, from around $12 billion last year.
They also agreed to strengthen the scope of the preferred trade agreement and discussed virtual payment platforms to promote trade.
In parallel, Modi has expressed his willingness to “pay a very heavy price” to resist US pressure to change India’s trade policy in light of punitive tariffs.
In an executive order signed on Wednesday, Trump imposed an additional 25% tariff on India to continue to buy large quantities of Russian oil. It came above 25% tariffs on Indian exports, which the US President has already announced.
India’s Foreign Ministry has named the new tariffs “unfair” and denounced the US on double standards.
Modi reaffirmed his commitment to protecting Indian farmers and their interests, saying such policies are “unnegotiable in principle.”
His government’s firm stance has led to criticism from the opposition, claiming that tariffs indicate a shift in US relations with India, which was once considered a “special relationship.”
Despite continuing trade negotiations, analysts suggest that the critical tariffs imposed will have a significant economic impact on various sectors in India, especially textiles and automotive components, putting the benefits of trade against competitors such as Vietnam and Bangladesh at risk.
The Modi government is currently facing the challenge of balancing strategic autonomy while seeking new trade measures to mitigate the risks posed by US tariffs.
Congressional Party President Marikaljun Kalge has condemned the US attempts to use tariffs to force India to change trade and foreign policy.
“India’s national interests are the best,” Kaj said. “The countries that arbitrarily punished India for our policy of strategic autonomy do not understand the steel frame in which India is being made.”
MNA