US President Donald Trump: Could New US Tariffs Affect India Due to Alleged “Rice Dumping”? What Trump Said Is Here
US President Donald Trump: US President Donald Trump has said that tariffs would readily resolve the “problem” and that India should not be “dumping” rice into the US market. He also promised to “take care” of the matter.
Along with important members of his cabinet, such as Agriculture Secretary Brooke Rollins and Treasury Secretary Scott Bessent, Trump had a roundtable at the White House on Monday with leaders from the agricultural and agriculture industries. He said that the federal government will provide farmers with $12 billion.
Meryl Kennedy, who manages her family’s Louisiana-based agribusiness Kennedy Rice Mill, told Trump that foreign countries are “dumping” rice into the United States and that rice growers in the southern region of the country are “really struggling.”
Throwing away rice
Kennedy, seated next to Trump, said, “India, and Thailand; even China into Puerto Rico,” when Trump inquired which nations were pouring rice into the United States. One of the biggest markets for US rice in the past was Puerto Rico. It has been years since we sent rice to Puerto Rico.
Kennedy said that the Trump administration was not the beginning of this; it has been going on for years. “But unfortunately, we’re seeing it in a much bigger way now,” she said.
When she said that the Trump administration’s tariffs are effective, “but we need to double down,” Trump responded, “You want more, I understand.”
Trump’s latest agricultural threat
“India, tell me about India,” Trump continued, turning to Bessent. Why is that permitted in India? Tariffs must be paid by them. Is there a rice exemption for them? “No sir, we’re still working on their trade deal,” said Bessent.
“But they shouldn’t be dumping,” Trump said. I heard that, after all. Others told me that. They are unable to do it. Kennedy then informed Trump that India was the target of a World Trade Organization complaint.
Trump ordered Kennedy to provide him with the names of the nations that were pouring rice into the United States, and he gave Bessent instructions to write them down. “India. “Who else?” Trump said. “China, Thailand, and India into Puerto Rico, not the mainland United States. Kennedy said that while American farmers are capable of feeding both the United States and other countries, “we need fair trade, not free trade.” These are the primary offenders. This will be “so easy to settle,” according to Trump.
“With taxes applied to these nations that are exporting illegally, the issue is resolved very fast. The problem has been resolved. Your issue will be resolved in a single day. He said that this issue would be resolved “one day,” which is why we must prevail in the Supreme Court case.
The Supreme Court will now resolve the matter after lower US courts declared that Trump’s use of emergency powers to slap tariffs on countries worldwide was unlawful.
“It’s very unfair. They cease operations. Trump said, “They put everyone out of business.”
According to Trump, the US lost half of its semiconductor and auto industries because these goods were being made elsewhere and prior administrations did not apply duties on their imports.
“The same is true with rice. It will work out well and be resolved fast. All we need are the nations. Just provide the names of the nations. Again, tariffs. The president said, “It solves the problem in two minutes.”
Kennedy went on to say that they have an incentive to subsidize their goods as they have “bought” the biggest brands at retail. “Indians” was her response to Trump’s question, “Who did that?”
“We’ll handle it. “It’s very simple,” Trump said.
India’s hegemony in exporting rice
With 150 million tons produced annually, India has a 28 percent market share and is the world’s biggest producer of rice. According to figures from the Indian Rice Exporters Federation (IREF), it is also the leading exporter, accounting for 30.3% of world exports in 2024–2025.
About 2.34 lakh tons of rice, or less than 5% of India’s total 52.4 lakh tonnes of exports of basmati rice worldwide, were sent to the US in the 2024 fiscal year, according to data on the India Brand Equity Foundation’s (IBEF) website. According to the report, West Asia continues to be the top market for Indian rice.
‘Sona Masoori’ is a popular rice variety in countries like the US and Australia, out of all the types that India sells. Trump has levied the biggest tax in the world, fifty percent, on India, which includes twenty-five percent for Delhi’s imports of Russian oil.
Prem Garg, National President of the Indian Rice Exporters Federation, said that India still has a price edge over rivals like Vietnam and Pakistan and described the 25% reciprocal tax as a temporary “hurdle” for rice exports. “This tariff is a short-term impediment rather than a permanent one. Indian rice exporters can safeguard and even increase their market share in the US with careful planning, diversity, and adaptability,” Garg had said earlier this year.