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Navarro Questions U.S. Power Costs for Global AI Use, Hints at Action on Data Centers

His comments connect rising electricity demand from AI facilities to the long-running U.S.–India trade dispute.

Overview

  • In an interview on Real America's Voice, Peter Navarro asked why Americans are “paying for AI in India,” pointing to U.S.-based platforms like ChatGPT serving large user bases in India and China.
  • Navarro said the administration is examining whether AI data centers are raising Americans’ electricity bills and suggested “strong action” from President Trump could follow, without detailing specific measures.
  • The administration said Friday it will work with states to ensure rapid AI sector growth does not translate into higher power costs for millions of households.
  • The remarks land in the context of tense U.S.–India trade relations after Trump imposed 50% tariffs on Indian imports tied to New Delhi’s Russian oil purchases, which India has defended as market and security driven.
  • Reporting noted ChatGPT’s large global audience, with India among top markets, and cited industry warnings that data-centre electricity use could climb sharply in the next few years.