India-US relations: News and Discussions IV

[ShauryaT]

Via the Hindustan Times:

"US President Donald Trump appears unwilling to back down from his claim that India will soon snap its oil trade ties with Russia. Reiterating the assertion on Thursday, he added a specific figure this time: “By the end of the year, they'll be down to almost nothing, about 40 percent of the (Russian) oil.”

US has sanctioned Russian oil companies. When the US did so for Iran, India stopped its purchases. Why will India not do the same now?

[williams]

Via the Hindustan Times:

"US President Donald Trump appears unwilling to back down from his claim that India will soon snap its oil trade ties with Russia. Reiterating the assertion on Thursday, he added a specific figure this time: “By the end of the year, they'll be down to almost nothing, about 40 percent of the (Russian) oil.”

US has sanctioned Russian oil companies. When the US did so for Iran, India stopped its purchases. Why will India not do the same now?

It affects only if you are trading in US currency. India has already decided (2 weeks back) to trade with Russia using yuan. DJT wanted 1+1 but what is happening is RCI.

[Amber G.]

.....
US has sanctioned Russian oil companies. When the US did so for Iran, India stopped its purchases. Why will India not do the same now?

Unlike the sanctions on Iran, which had broad international support and UN backing, the current sanctions on Russia are largely driven by the US and some of Trump's fans in Europe..(IOW The Iranian sanctions were part of a broader diplomatic effort to limit Iran's nuclear program, whereas the sanctions on Russia are basically Trump's tantrums

[drnayar]

As national debt accelerates to $38 trillion, watchdog warns it's 'no way for a great nation like America to run its finances' | Fortune https://share.google/Kp9GHh3ce0Z0deCbH

Can the US just say we will pay anymore interest on the ginormous debt burden ?

Historically there is precedent when moving out of gold backed dollar !

[A_Gupta]

Reuters, which has been wrong on this topic before, reports:
https://www.reuters.com/world/india/ind ... 025-10-23/

NEW DELHI, Oct 23 (Reuters) - Privately-owned Reliance Industries (RELI.NS), opens new tab will stop importing oil under its long-term deal to buy nearly 500,000 barrels per day of crude from Russian oil major Rosneft, after the oil producer was sanctioned by the United States, two sources with direct knowledge of the matter said on Thursday.

The Times of India says that PSUs will also move away from Rosneft and Lukoil petroleum.

[Vayutuvan]

> The states: “Federal Motor Carrier Safety Administration audit had uncovered compliance irregularities in California, Colorado, Pennsylvania, South
> Dakota, Texas and Washington”. Texas and South Dakota are solidly Republican.

Sure. What is left unsaid is that California (the state with the most population, meaning it sends the most representatives to the House), CO, and Washington are all solidly democratic. PA (Which is quite populous) is Democratic-leaning. One can even make a case that PA is a solidly Democratic-leaning state.

Why is this in this thread anyways?

[Vayutuvan]

As national debt accelerates to $38 trillion, watchdog warns it's 'no way for a great nation like America to run its finances' | Fortune https://share.google/Kp9GHh3ce0Z0deCbH

Can the US just say we will not pay anymore interest on the ginormous debt burden ?

Historically there is precedent when moving out of gold backed dollar !

You may be missing a "not", I guess.

They can say it. Then what will happen to all the Treasuries held by Americans themselves (including American banks, bond funds, etc?).

[Vayutuvan]

Via the Hindustan Times:

"US President Donald Trump appears unwilling to back down from his claim that India will soon snap its oil trade ties with Russia. Reiterating the assertion on Thursday, he added a specific figure this time: “By the end of the year, they'll be down to almost nothing, about 40 percent of the (Russian) oil.”

US has sanctioned Russian oil companies. When the US did so for Iran, India stopped its purchases. Why will India not do the same now?

The price is much better in this case vis a vis Iran case, perhaps? Just a WAG.

[uddu]

https://x.com/KanchanGupta/status/1981337585743258002
@KanchanGupta
Memo to compromised 'Hindus' who are sucking up to Jihadist Mamdani and given him free access to certain temples in New York.

https://x.com/TaliGoldsheft/status/1981089419097428188
@TaliGoldsheft
NEWS - “Over 650 rabbis from around the country signed on to an open letter on Wednesday voicing concern that, if elected New York City mayor, Zohran Mamdani would threaten “the safety and dignity of Jews in every city,” citing the Democratic nominee and frontrunner’s antagonistic views towards Israel.” Via
@J_Insider @HaleyCohen19

[uddu]

https://x.com/KanwalSibal/status/1981215556616540434
@KanwalSibal
The US has upped the ante.
Trump is totally unpredictable. At one moment he plans a meeting with Putin in Budapest, next he is targeting Russia’s oil sector by sanctioning two major Russian oil companies and demanding an immediate ceasefire in Ukraine.

Russia will not accept such open coercion. What next?

Problem for India. Rosneft has a major investment in Nyara.

This kind of US unilateralism is a huge problem for the international community. The US is imposing its arbitrary and capricious will on the rest of the world.

The US is in the process of destabilising the current global system. It needs reforming, but the solution does not lie in more US hegemony.

[Amber G.]

Trump announces the 'termination' of 'all trade negotiations with Canada' in a block letter on social media post, just before he goes to sleep (Washington DC, it's around midnight). Gives some idea why India is thinking ....pointless to go through all the hard negotiations only for this fellow to use some silly pretext to undo the whole thing...

[Amber G.]

Manhattan Institute Report: Indian Immigrants Yield $1.6 Million Fiscal Surplus Each

A Manhattan Institute study by economist Daniel Di Martino, released October 23, 2025, analyzes Census data to show that Indian immigrants and their descendants generate a $1.6 million net fiscal surplus over 30 years, outpacing groups like Chinese and Filipinos while imposing costs for others like Mexicans. High-skilled H-1B visa holders in tech and STEM drive $2.3 million in savings per person, potentially cutting U.S. national debt by $4.3 trillion from 2.7 million foreign-born Indian-Americans. The report's findings contrast with rising anti-Indian sentiment on X, where critics cite job competition, cultural shifts, and $129.4 billion in 2024 remittances to India.

[Amber G.]

Manhattan Institute Report: Indian Immigrants Yield $1.6 Million Fiscal Surplus Each

A Manhattan Institute study by economist Daniel Di Martino, released October 23, 2025, analyzes Census data to show that Indian immigrants and their descendants generate a $1.6 million net fiscal surplus over 30 years, outpacing groups like Chinese and Filipinos while imposing costs for others like Mexicans. High-skilled H-1B visa holders in tech and STEM drive $2.3 million in savings per person, potentially cutting U.S. national debt by $4.3 trillion from 2.7 million foreign-born Indian-Americans. The report's findings contrast with rising anti-Indian sentiment on X, where critics cite job competition, cultural shifts, and $129.4 billion in 2024 remittances to India.

[drnayar]

As national debt accelerates to $38 trillion, watchdog warns it's 'no way for a great nation like America to run its finances' | Fortune https://share.google/Kp9GHh3ce0Z0deCbH

Can the US just say we will not pay anymore interest on the ginormous debt burden ?

Historically there is precedent when moving out of gold backed dollar !

You may be missing a "not", I guess.

They can say it. Then what will happen to all the Treasuries held by Americans themselves (including American banks, bond funds, etc?).

either that or pegging the dollar to some sort of crypto combination / revalue [ devalue the USD ] just trying to see the American game play here .. i think there is one already in motion

america does not care what pain other countries or even its lower class citizens have to go through

[williams]

You may be missing a "not", I guess.

They can say it. Then what will happen to all the Treasuries held by Americans themselves (including American banks, bond funds, etc?).

either that or pegging the dollar to some sort of crypto combination / revalue [ devalue the USD ] just trying to see the American game play here .. i think there is one already in motion

america does not care what pain other countries or even its lower class citizens have to go through

Currently it is not that easy. The best way to remember US Debt is 30-30-30-10 30% is held by private investors, 30% by US govt itself (social security, medicaid etc) and 30% by the foreign investors and 10% by the Fed itself to do it day to day operations. Europe owns the 40% of the foreign debt followed by Japan and China. Any change in monetary policy to compensate will tank US economy along with their friends across the Atlantic. That will be followed by USD losing its status to be a reserve currency. Fed which is managed by the bankers will not allow that to happen. All these games the current admin is playing with things like tariffs etc will only make a small dent in that debt. Moral of the story is karma will catch up and there is no way out of it.

[drnayar]

either that or pegging the dollar to some sort of crypto combination / revalue [ devalue the USD ] just trying to see the American game play here .. i think there is one already in motion

america does not care what pain other countries or even its lower class citizens have to go through

Currently it is not that easy. The best way to remember US Debt is 30-30-30-10 30% is held by private investors, 30% by US govt itself (social security, medicaid etc) and 30% by the foreign investors and 10% by the Fed itself to do it day to day operations. Europe owns the 40% of the foreign debt followed by Japan and China. Any change in monetary policy to compensate will tank US economy along with their friends across the Atlantic. That will be followed by USD losing its status to be a reserve currency. Fed which is managed by the bankers will not allow that to happen. All these games the current admin is playing with things like tariffs etc will only make a small dent in that debt. Moral of the story is karma will catch up and there is no way out of it.

I hope this critical topic gets more discussion


August 1971


https://www.federalreservehistory.org/e ... ility-ends
The international monetary system after World War II was dubbed the Bretton Woods system after the meeting of forty-four countries in Bretton Woods, New Hampshire, in 1944. The countries agreed to keep their currencies fixed (but adjustable in exceptional situations) to the dollar, and the dollar was fixed to gold. Since 1958, when the Bretton Woods system became operational, countries settled their international balances in dollars, and U.S. dollars were convertible to gold at a fixed exchange rate of $35 an ounce. The United States had the responsibility of keeping the dollar price of gold fixed and had to adjust the supply of dollars to maintain confidence in future gold convertibility.
In the 1960s, European and Japanese exports became more competitive with U.S. exports. The U.S. share of world output decreased and so did the need for dollars, making converting those dollars to gold more desirable. The deteriorating U.S. balance of payments, combined with military spending and foreign aid, resulted in a large supply of dollars around the world. Meanwhile, the gold supply had increased only marginally. Eventually, there were more foreign-held dollars than the United States had gold. The country was vulnerable to a run on gold and there was a loss of confidence in the U.S. government's ability to meet its obligations, thereby threatening both the dollar's position as reserve currency and the overall Bretton Woods system.

Many efforts were made to adjust the U.S. balance of payments and to uphold the Bretton Woods system, both domestically and internationally. These were meant to be "quick fixes" until the balance of payments could readjust, but they proved to be postponing the inevitable.

These efforts of the global financial community proved to be temporary fixes to a broader structural problem with the Bretton Woods system. The structural problem, which has been called the "Triffin dilemma," occurs when a country issues a global reserve currency (in this case, the United States) because of its global importance as a medium of exchange. The stability of that currency, however, comes into question when the country is persistently running current account deficits to fulfill that supply. As the current account deficits accumulate, the reserve currency becomes less desirable and its position as a reserve currency is threatened.
With inflation on the rise and a gold run looming, Nixon's administration coordinated a plan for bold action. From August 13 to 15, 1971, Nixon and fifteen advisers, including Federal Reserve Chairman Arthur Burns, Treasury Secretary John Connally, and Undersecretary for International Monetary Affairs Paul Volcker (later Federal Reserve Chairman) met at the presidential retreat at Camp David and created a new economic plan. On the evening of August 15, 1971, Nixon addressed the nation on a new economic policy that not only was intended to correct the balance of payments but also stave off inflation and lower the unemployment rate.

The first order was for the gold window to be closed. Foreign governments could no longer exchange their dollars for gold; in effect, the international monetary system turned into a fiat one. A few months later the Smithsonian agreement attempted to maintain pegged exchange rates, but the Bretton Woods system ended soon thereafter. The second order was for a 90-day freeze on wages and prices to check inflation. This marked the first time the government enacted wage and price controls outside of wartime. It was an attempt to bring down inflation without increasing the unemployment rate or slowing the economy. In addition, an import surcharge was set at 10 percent to ensure that American products would not be at a disadvantage because of exchange rates.

[ShauryaT]

The problem with Trump's actions compared to Nixon's although Nixon's actions were fundamentally transformative and from a US perspective much needed. In comparison, Trump actions look benign. The problem with Trump is - he has not articulated a replacement order, once you break the WTO. I have a theory of Green, yellow and red zones for trade partners as the new order, but that is just me, have not seen this articulated much. US trade partners balked then as they do now but in the end reconcile, to the inherent power differential.