India and Brazil are strengthening their bond to counter a trade dispute sparked by US President Donald Trump’s hefty tariffs. On August 7, 2025, Brazilian President Luiz Inácio Lula da Silva called Prime Minister Narendra Modi, agreeing to deepen cooperation in trade, technology, energy, defense, agriculture, and health. This comes after Trump imposed a 50% tariff on both nations’ goods, citing India’s Russian oil imports and Brazil’s political issues.
Business Community with India and Brazil
“We’re in this together,” said a Delhi-based exporter, reflecting the shared anxiety as tariffs threaten jobs. India’s textile and jewelry sectors, employing millions, face losses, while Brazil’s energy and agriculture exports are hit hard. The leaders aim to boost bilateral trade to $20 billion by 2030, up from $12 billion, and expand their Mercosur-India trade agreement.
People Centric Partnership
Modi, recalling his recent Brazil visit, emphasized a “people-centric partnership” for the Global South. Both nations, key BRICS members, vowed to defend multilateralism. With Lula planning a 2026 India visit, the alliance signals resilience against external pressures. The trade dispute with the US looms large, but India and Brazil are betting on unity to weather the storm.
Published in SouthAsianDesk, August 8th, 2025
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