Archive · 14 Aug 2026
Why US Is Accusing India of a 'Great Transhipment Scam'
The United States charges taxes, called tariffs, on goods that come into the country from other places.
Some countries try to avoid paying these taxes by sending their goods through other countries first.
This trick is called transshipment.
Now the US is accusing India of taking part in a big version of this trick, which it calls a 'great transhipment scam.'
A person quoted in the report, named Navarro, said more than 40 countries help make this trick possible.
He warned that India and Vietnam might try it again as the US adds more tariffs.
He said the way to pay less is not to cheat.
Instead, countries should stop unfair selling, respect other people's ideas, remove barriers to American goods and be fair in trade.
He also warned countries that getting special access to sell in America is not a license to hide another country's goods.
Basically, the US wants everyone to trade honestly and fairly.
The US is accusing India of taking part in a 'great transhipment scam' that relies on a shadow network of countries to route goods around US tariffs.
Navarro says more than 40 countries are enabling transshipping of goods to evade US tariffs.
Navarro warned that India and Vietnam will likely try transshipping too as the US imposes higher tariffs on other countries.
The US message is that 'the way to pay less is not to cheat' but rather to stop dumping, respect intellectual property, drop barriers to American goods and move towards reciprocity.
The US warned lower-tariff countries that preferential access to the American market is 'not a license to launder somebody else's exports.'
- Who
- The United States, whose position is expressed in remarks by Navarro quoted in the report; the accusation targets India.
- What
- The US is accusing India of being part of a 'great transhipment scam,' in which exports are moved through lower-tariff countries to evade US tariffs.
- When
- Not specified in the article.
- Where
- Not specified in the article.
- Why
- The US says more than 40 countries enable transshipping, and warns that tariff avoidance through transshipment is cheating rather than legitimate trade.
- US accusation
- India is part of a 'great transhipment scam' enabled by a shadow network of countries
- Countries enabling transshipping
- More than 40
- Countries warned they may try transshipment
- India, Vietnam
- US demands
- Stop dumping, respect intellectual property, drop barriers to American goods, move towards reciprocity
- Warning to lower-tariff countries
- Preferential access to the American market is not a license to launder somebody else's exports
- Source of remarks
- Navarro, quoted in the report