US President Donald Trump said India should not be “dumping” rice into the U.S. market and said he will “take care” of the issue, emphasising that tariffs would easily solve the “problem.”
This comes amid United States Under Secretary of State for Political Affairs Allison Hooker's visit to New Delhi and Bengaluru from December 7 to 11.
The visit is expected to sharpen the strategic focus of the US-India partnership at a time when both sides are navigating economic friction, geopolitical volatility and rapid technological shifts.
According to the US Embassy, Hooker will prioritise advancing the US-India strategic partnership, deepening economic and commercial ties, expanding American exports, and accelerating collaboration in emerging technologies, particularly artificial intelligence and space exploration.
Her visit comes amid renewed efforts in Washington and New Delhi to stabilise ties after weeks of heightened tensions over the Trump administration’s 50% tariff on Indian goods and India’s continued purchase of Russian energy.
On Monday, Trump hosted a White House roundtable with farming and agriculture representatives, joined by key cabinet members including Treasury Secretary Scott Bessent and Agriculture Secretary Brooke Rollins.
He announced USD 12 billion in federal aid for farmers.
Meryl Kennedy, who runs her family’s agribusiness, Kennedy Rice Mill in Louisiana, told Trump that rice producers in the southern United States are “really struggling” and that other countries are “dumping” rice into the U.S. market.
When asked by Trump which countries are dumping rice into America, Kennedy, sitting next to the President, replied, "India, and Thailand; even China into Puerto Rico. Puerto Rico used to be one of the largest markets for US rice. We haven't shipped rice into Puerto Rico in years."
Kennedy said that this has been happening for years and did not start during the Trump administration. But unfortunately, we're seeing it in a much bigger way now," she said.
She said that tariffs imposed by the Trump administration are working, but we need to double down, to which Trump said, "You want more, I understand".
Trump then turned to Bessent and said, India, tell me about India.
Why is India allowed to do that? They have to pay tariffs. Do they have an exemption on rice?
"No sir, we're still working on their trade deal," Bessent replied.
Trump then said, "But they shouldn't be dumping. I mean, I heard that. I heard that from others. They can't do that."
Kennedy then told Trump there's a World Trade Organisation case against India. Trump asked Kennedy to give him the names of the countries dumping rice into the US and instructed Bessent to note down the names.
"India. Who else?" Trump said.
"India, Thailand, China into Puerto Rico, not into the continental US, but into Puerto Rico. Those are the main culprits," Kennedy said, adding that American farmers can feed the US as well as nations around the world, but "we need fair trade, not free trade".
Trump said this will be so easy to settle.
"It's solved so quickly with tariffs to these countries that are illegally shipping. It's solved. Your problem is solved in one day. That's why we have to win the Supreme Court case," he said, adding that this problem will be solved in one day.
Lower courts in the US have ruled that Trump's use of emergency powers to impose tariffs on nations around the world is illegal, and the case will now be decided by the Supreme Court.
"It's so unfair. They go out of business. They put everyone out of business," Trump said.
Trump said that America lost half of its car industry and chip industry because these products were being manufactured in other countries, and previous administrations did not impose tariffs on these imports into the US.
"It's the same thing with rice. It'll be good, will get it solved very quickly. We just need the countries. Just give us the names of the countries. Tariffs, again. It solves the problem in two minutes," the president said.
Kennedy then said that they have "bought" the largest brands at retail, too, so they have an incentive to subsidise their products.
When Trump asked, "Who did that?" she said, "Indians".
"We'll take care of it. It's so easy," Trump said.
India is the largest producer of rice -- 150 million tonnes -- and has a 28 per cent share of the global market.
It is also the top exporter, with a 30.3 per cent share of global exports in 2024-2025, Indian Rice Exporters Federation (IREF) data shows.
According to information on the website of the India Brand Equity Foundation (IBEF), India exported about 2.34 lakh tonnes of rice to the US in the 2024 fiscal, less than 5 per cent of its total global basmati rice exports of 52.4 lakh tonnes.
West Asia remains the dominant destination for Indian rice, it said.
Among the rice varieties that India exports globally, 'Sona Masoori' is preferred in markets such as the US and Australia.
Trump has imposed a 50 per cent tariff on India, the highest in the world, including 25 per cent for Delhi's purchases of Russian oil.
Indian Rice Exporters Federation National President Prem Garg had termed the 25 per cent reciprocal tariff as a temporary "hurdle" for rice shipments and had stated that India still retains a pricing advantage over competitors like Vietnam and Pakistan.
"This tariff is a temporary hurdle, not a long-term roadblock. With strategic planning, diversification, and flexibility, Indian rice exporters can protect and even expand their presence in the US market," Garg had said earlier this year.
(With inputs from agencies, ENS)