“Among Equals Shall Affection Shine”: Chanakya Niti and India’s Demand for Equal Footing in the Era of Trump’s Trade Tariffs

समाने शोभते प्रीतिः राज्ञि सेवा च शोभते ।
वाणिज्यं व्यवहारेषु दिव्या स्त्री शोभते गृहे ॥ ०२-२०

“Samāne śobhate prītiḥ rājñi sevā ca śobhate
Vāṇijyaṁ vyavahāreṣu divyā strī śobhate gṛhe.”
— Chanakya Niti 2.20

Love shines among equals, service is best rendered to a king, commerce thrives in transactions, and a virtuous woman graces the home.

Chanakya, the brilliant statesman of ancient India, left behind aphorisms of startling relevance to today’s geopolitics. In this particular verse, he outlines a vision of balance and suitability—affection thrives among equals; service is dignified when rendered to a noble ruler; commerce flourishes through just exchanges; and beauty is best revealed in its rightful domain. Though cloaked in timeless Sanskrit elegance, these lines articulate principles of realpolitik: diplomacy demands parity, service loses its value when offered to the unworthy, and trade must never be an instrument of subjugation.

Few modern international episodes illustrate this more vividly than India’s resistance to coercive trade tactics during Donald Trump’s presidency. Beneath the tariff disputes and WTO appeals lay a deeper philosophical struggle: India’s quest to not be treated as a vassal state, but as a sovereign equal in a multipolar world—confident in its market size, demographic advantage, technological ascent, and civilizational strength.

The Trump Shock: Tariffs and Trade Tensions

When Donald Trump entered the White House in January 2017, he brought with him a scorched-earth approach to trade, wrapped in nationalist populism. “America First” wasn’t just a slogan; it became the foundation of an aggressive realignment of U.S. trade policy, targeting not just rivals like China, but allies and partners alike. India, one of the largest emerging markets and a rising regional power, soon found itself in the line of fire.

In March 2018, Trump imposed 25% tariffs on steel and 10% on aluminum imports, invoking national security under Section 232 of the Trade Expansion Act of 1962. India, a notable exporter of both metals to the U.S., found itself caught in this net. Its requests for exemptions were denied. Later, India was removed from the Generalized System of Preferences (GSP) in June 2019, stripping nearly $6.3 billion worth of exports of their duty-free access to the American market.

Washington’s rationale was rooted in India’s perceived “unfair” trade practices—including high tariffs, price controls on U.S. medical equipment, data localization rules, and barriers in dairy and e-commerce sectors. Trump famously mocked India’s tariffs on Harley-Davidson motorcycles, calling it “unacceptable.”

But for India, this was not about a few billion dollars—it was about principle. The core question was: Would India yield to transactional pressure and redesign its policies to please a more powerful partner? Or would it insist on a relationship of equals, guided by strategic autonomy and economic self-respect?

The Chanakya Lens: Affection Among Equals

Chanakya’s wisdom is unmistakable here: “Affection shines among equals.” A healthy bilateral relationship, especially in trade, must be grounded in parity. When one party dominates and the other is expected to comply unquestioningly, the relationship becomes one of patronage—not partnership.

India, under the leadership of Prime Minister Narendra Modi, made it clear through both word and deed that it would not be reduced to a subservient economic appendage to the United States. Despite the GSP revocation and public criticism from Trump, India chose strategic silence and reciprocal actions rather than capitulation. It imposed retaliatory tariffs on 28 U.S. products, including almonds, apples, and lentils—some of which originated in politically sensitive U.S. states. The symbolism was Chanakyan in nature: strategic, sharp, and measured.

Refusing to be a Vassal: India’s Quiet Assertion

Behind India’s calm exterior was a firm conviction: its days of being the “junior partner” were over. Unlike the Cold War era when India sought non-alignment as a necessity, the 21st century brought with it new leverage. India’s $3.7 trillion economy (as of 2025), a youthful population, and a booming digital ecosystem made it indispensable to global commerce.

As the world’s third-largest start-up ecosystem, with over 110 unicorns, and a massive consumer base of over 1.4 billion, India had begun crafting a new identity—not as a market to be dictated to, but as a marketplace shaping its own destiny. With initiatives like Digital India, Atmanirbhar Bharat (Self-Reliant India), and Make in India, New Delhi sent a message: we’re open for business—but not for domination.

India’s policies on data localization, price control of life-saving drugs, and control of e-commerce by foreign giants weren’t arbitrary—they were born from domestic needs and sovereign choices. While Amazon and Walmart-owned Flipkart lobbied the U.S. government to push back against India’s FDI rules in retail and e-commerce, New Delhi held firm. Chanakya would have approved. Just as service only shines when given to a noble king, India saw no nobility in bending to transactional demands that overlooked its social fabric or economic priorities.

Commerce Among Equals: A New Trade Ethos

Chanakya’s assertion that trade must reside within fair, just, and contextually aware boundaries finds profound resonance in this episode. The Trump administration sought immediate concessions and bilateral adjustments, bypassing multilateral frameworks like the WTO. It wanted “deals” not dialogues. India, however, remained committed to rules-based trade, reciprocity, and mutual respect.

This wasn’t just philosophical—it was strategic. In November 2019, India walked out of the Regional Comprehensive Economic Partnership (RCEP), fearing it would flood Indian markets with Chinese goods. Instead, India pivoted toward bilateral trade agreements—with the EU, the UK, Australia, UAE, and the Gulf. India also initiated Production Linked Incentive (PLI) schemes to make domestic manufacturing globally competitive, especially in electronics, pharma, and solar sectors.

These moves were not isolationist, but Chanakyan protectionism—a fencing of the homeland before inviting merchants. As Chanakya’s verse concludes, “a divine woman shines in the home,” India believed that internal strength—economic, technological, moral—was the bedrock for external negotiation.

Technological Prowess as Leverage

By 2020, India was not merely a developing nation; it was a tech sovereign power. The Unified Payments Interface (UPI) was processing billions of transactions a month, even inspiring replication in countries like Singapore and the UAE. India’s pharmaceutical industry, known as the “pharmacy of the world,” became critical during the COVID-19 pandemic, supplying vaccines and generics globally.

These weren’t favors—they were assets of negotiation. Unlike the past, where India often entered trade talks from a position of need, it now came with offerings, as Chanakya advised—gracefully, from a place of capability. This shift unnerved the Trump administration, accustomed to dictating rather than debating. But it also recalibrated global perceptions of India—from rule-taker to rule-shaper.

The Road Ahead: Parity as Principle

While Joe Biden’s administration has taken a less combative stance than Trump, India’s posture has remained unchanged. Trade talks continue, but the fundamental ethos remains rooted in dignified negotiation, not transactional compromise. Whether it’s resisting WTO pressure to remove food subsidies or standing firm on digital sovereignty, India today channels Chanakya’s realism with 21st-century confidence.

It’s not that India refuses partnership—it seeks it, but only among equals. Its rising stature in the Quad, BRICS, G20, and Global South summits underscores this desire: partnership without patronage. No longer will it be flattered into submission or bullied into agreements that threaten its autonomy. As Chanakya foresaw, affection, service, commerce, and grace—all require context, balance, and mutual respect.

India’s conduct during the Trump trade war was neither defiant nor deferential. It was deliberate, dignified, and diplomatic—a masterclass in modern realpolitik, guided by ancient wisdom.

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