US President Donald Trump is reportedly considering a move to block American companies from outsourcing work to Indian IT firms, a decision that could impact India’s tech companies.
The Indian IT sector, which heavily relies on contracts from US-based clients, may face major disruptions if the proposal is implemented.
Laura Loomer on the possible move
Political commentator Laura Loomer shared the development on X, “President Trump is now considering blocking US IT companies from outsourcing their work to Indian companies.”
She also claimed that this would localise call center jobs in the US, writing, “You don’t need to press 2 for English anymore… Make Call Centres American Again!”
White House trade adviser Peter Navarro reposted related messages and said, “It’s tariff time. Outsourcing to countries like India contributes to wage and employment suppression for American workers.”
The comments come as part of Trump’s broader tariff strategy, which has hit countries like India and Brazil with import duties of up to 50%.
Trump criticises India’s alignment with China and Russia
Tensions between the U.S. and India have further intensified after Trump commented on Indian Prime Minister Narendra Modi’s appearance at the Shanghai Cooperation Organisation (SCO) summit in Tianjin.
Referring to India and Russia’s growing ties with China, Trump wrote on Truth Social, “Looks like we have lost India and Russia to deepest, darkest China. May they have a long and prosperous future together.”
US Commerce Secretary Howard Lutnick echoed Trump’s concerns during a Bloomberg interview, urging India to reconsider its involvement in BRICS.
“They either need to decide which side they want to be on,” Lutnick said, pointing to India’s balancing act between the West and emerging powers.
Modi responds to Trump
In a post on X, Modi wrote, “Deeply appreciate and fully reciprocate President Trump’s sentiments and positive assessment of our ties. India and the U.S. have a very positive and forward-looking Comprehensive and Global Strategic Partnership.”
Trump later downplayed the statement. Speaking from the Oval Office, he said, “I’ll always be friends with Modi. He’s a great prime minister, but I just don’t like what he’s doing at this particular moment.” He added that the two nations “just have moments on occasion” and there is “nothing to worry about.”
‘Make them pay more tariffs’
Netizens posted their opinion and many backed the proposal across social media. A user noted, “Just a 100% tariff on outsourcing contracts. Proceeds should fund college programs and unemployment benefits for US citizens. “
A netizen urged, “Fellow Americans, please remember to ask your friends, families, and community members to keep pestering their representatives and senators to do something about offshoring and work visas.”
“If that gravy train stops, many more jobs here are gonna go than the H1B takes,” noted another. “I believe India pissed off Trump by doing deals with Russia he has reason to retaliate. Seems logical to assume,” stated a netizen.
“Good step in the right direction for America. Let’s also stop all trade with countries that benefit disproportionately from doing trade with the USA,” wrote another.
(This story is based on a post shared by a social media user. The details, opinions, and statements quoted herein belong solely to the original poster and do not reflect the views of Financialexpress.com. We have not independently verified the claims.)