Rahul Gandhi Calls India-US Trade Pact a “Surrender,” Revives Old Sovereignty Debate in Lok Sabha

After a turbulent week in the Lok Sabha over his attempt to quote from the unpublished memoir of former Army chief General M M Naravane, Leader of the Opposition Rahul Gandhi shifted gears on Wednesday and trained his guns on what he described as a deeply flawed India–US trade agreement.

Participating in the debate on the Union Budget, Gandhi avoided initiating the discussion himself—despite internal suggestions—apparently to ensure smoother proceedings and allow other Opposition leaders to speak.

But when he rose to speak, he made it clear that the trade pact with Washington would be the centrepiece of his intervention.

“A Deal Between Unequals”

Gandhi labelled the agreement a “sell-out,” accusing the government of compromising India’s economic and strategic interests.

He argued that an INDIA bloc government would have negotiated as an equal partner rather than, in his words, appearing subservient.

Referring to reported US expectations that India curb purchases of Russian oil, Gandhi said New Delhi should have asserted its sovereign right to safeguard its energy security.

“Our energy security is our energy security,” he said, adding that India must protect its farmers and workers just as the US protects its own domestic constituencies.

His language echoed a political memory from 2008, when the BJP had criticised the Congress-led UPA government over the Indo-US nuclear deal.

At that time, then Leader of the Opposition L K Advani had warned that India risked becoming a “subservient partner” in a deal with Washington.

Now, Gandhi appears to be turning that line of argument back on the BJP.

Focus on Farmers, Youth and Digital Sovereignty

Gandhi’s speech was calibrated to address multiple constituencies. He raised concerns among software professionals about artificial intelligence and digital trade rules.

He alleged that India had conceded too much in areas such as data localization, digital taxation, and control over source code disclosures.

“Data is our most valuable asset,” he said, describing it as central to India’s ambitions in the 21st century. He claimed the agreement permits free data flow to the US and weakens India’s ability to regulate its digital economy.

Turning to agriculture, Gandhi warned that opening Indian markets to highly mechanized American farms could put small and marginal farmers at a disadvantage.

He framed the issue as one of livelihood protection, especially in rural regions.

He also criticized tariff adjustments, claiming India’s concessions far outweigh reciprocal commitments from the US. According to him, such terms risk undermining domestic industries, including textiles.

Political Undertones and Foreign Policy Attack

Beyond economics, Gandhi escalated his criticism into the realm of foreign policy. He accused Prime Minister Narendra Modi of allegedly compromising India’s sovereignty.

“I do not believe that any Indian Prime Minister would sign such a deal unless there was pressure,” Gandhi said, suggesting external leverage without providing documentary evidence in the House.

Last week, outside Parliament, Gandhi had linked his concerns to ongoing legal issues involving industrialist Gautam Adani in the United States and the broader release of files connected to Jeffrey Epstein.

He implied that undisclosed material could be exerting indirect pressure, though he offered no substantiated proof during his parliamentary remarks.

A New Political Narrative?

With earlier attempts to focus political discourse on the Election Commission’s Special Intensive Revision exercise failing to gain traction, Gandhi appears to be repositioning the Congress party’s attack around economic nationalism and sovereignty.

The comparison with the 2008 nuclear deal debate is striking. Then, the BJP had accused the UPA government of weakening India’s strategic autonomy.

Today, Gandhi is using similar language to question the Modi government’s approach to trade and foreign policy.

The BJP, for its part, has defended the agreement as pragmatic and beneficial for India’s global economic integration. Government leaders argue that the deal expands market access and strengthens strategic ties with Washington.

As elections approach in several states, the trade pact may become more than an economic issue—it could evolve into a political test of how India balances global partnerships with domestic priorities.

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