New Delhi: India and the US’s pursuits and sensitivities are a part of ongoing discussions for a commerce deal and it’s untimely to speak about particulars resembling tariff reductions, folks conversant in the matter stated on Saturday, hours after US President Donald Trump claimed New Delhi has agreed to chop its levies on American exports.
The response from the Indian facet got here after Trump once more claimed that India costs “huge tariffs” and it was “restrictive” to do enterprise with New Delhi. He additionally claimed India had agreed to chop its tariffs “approach down” as a result of the US is “lastly exposing them”.
The folks, talking on situation of anonymity, famous that India and the US agreed in February to barter the primary tranche of a mutually helpful, multi-sector bilateral commerce settlement by the autumn of 2025 and subsequently begun negotiations on the commerce deal.
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Discussions on tariffs and different elements of commerce relations, which had been highlighted throughout Prime Minister Narendra Modi’s go to to Washington final month, are an ongoing course of, the folks stated.
“It’s pure that each international locations have their pursuits and sensitivities. These are official issues for a dialogue,” one of many folks cited above stated. “For the reason that discussions have simply begun, it could be untimely to speak about their particulars.”
Each side have talked about specifics on varied points as a part of the negotiations and there’s a context for every dimension that displays the pursuits of the 2 international locations, the folks stated.
Whereas addressing the media within the Oval Workplace on Friday, Trump reiterated his long-standing claims that the US had been “completely ripped off by nearly each nation on the planet” in commerce and financial issues. He listed India, Canada, China, Mexico and the European Union (EU) amongst international locations and blocs which have purportedly engaged in such exercise.
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“India costs us huge tariffs, huge. You’ll be able to’t even promote something into India, it’s nearly restrictive. It’s restrictive, we do little or no enterprise inside,” Trump stated. They’ve agreed, by the best way, they need to minimize their tariffs approach down now as a result of anyone is lastly exposing them for what they’ve finished.”
As with most of Trump’s feedback on trade-related issues, his claims weren’t backed up by commerce figures. In line with the US commerce consultant’s web site, US exports to India accounted for $41.8 billion out of the full two-way commerce in items price $129.2 billion in 2024.
When overseas secretary Vikram Misri was requested at a media briefing on Saturday about Trump’s remarks on tariffs and the negotiations with the US for a commerce deal, he declined to enter particulars. Noting that there’s a lot of curiosity in statements emanating from the US, he stated: “I can’t get into that at this level of time as a result of these are ongoing discussions, so it could not be proper to get into it.”
Nonetheless, Misri identified that tariff liberalisation was the idea for a number of bilateral commerce agreements finalised by India lately. “There are ongoing discussions with a number of different companions on these points now, and I believe the continuing discussions ought to be seen in that context as properly,” he stated.
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The folks cited above stated India had considerably decreased its common utilized tariffs for key developed international locations resembling Australia, the United Arab Emirates (UAE), Switzerland and Norway below lately concluded bilateral commerce agreements.
Negotiations for commerce offers are presently underway with the EU and the UK, and ongoing discussions with the US ought to be seen on this context, the folks stated.
The exterior affairs ministry, whereas offering New Delhi’s first official response to Trump’s menace to impose reciprocal tariffs on commerce companions from April 2, stated on Friday that the commerce deal being negotiated by India and the US is aimed toward deepening two-way commerce in items and companies, rising market entry, lowering tariff and non-tariff boundaries, and bolstering provide chain integration.
At their assembly in February, Modi and Trump agreed to designate senior representatives to advance the negotiations. In line with this resolution, an Indian delegation led by commerce minister Piyush Goyal visited Washington throughout March 3-6 and engaged the US commerce secretary and the US commerce consultant and their groups.
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India and the US additionally held discussions throughout Trump’s first time period on a restricted commerce deal however these negotiations didn’t produce an end result due to varied causes.
India has already minimize tariffs on some US merchandise which might be politically essential for Trump, resembling bourbon whiskey and high-end bikes, and authorities are exploring methods to chop different levies as a part of proposed commerce deal.
