US President Donald Trump said India has promised to bring down its tariffs “way down,” again claiming that the country levies enormous tariffs on US goods, complicating trade. His comments came after Union Commerce Minister Piyush Goyal traveled to the US for trade talks with US officials, including his counterpart Howard Lutnick.
Trump Slams Global Trade Practices
Addressing from the Oval Office, Trump declared, “Our country, economically and financially and in terms of trade, has been totally taken advantage of by nearly every nation on earth.”
He denounced trade policies of several countries, including Canada, Mexico, and India. Talking about India’s tariffs, he said, “You can’t even sell anything into India. It’s almost restrictive. It is restrictive. We do very little business inside.”
Trump claimed that recent trade talks have resulted in India reducing tariffs, and he added, “They’ve agreed, by the way, they want to reduce their tariffs bigly now because someone’s finally bringing them to account for what they’ve done.” He made comparisons with China and the European Union and said, “The EU has been a terrible abuser of this country.”
India’s Perspective on Tariff Reduction
India has already lowered its average applied tariffs on several developed countries, such as Australia, the UAE, Switzerland, and Norway, under recent trade pacts, according to sources. Talks are ongoing with the European Union and the UK as well. The talks with the US are to be seen in this backdrop, sources added.
In February, India and the US decided to initiate negotiations for the first stage of a Bilateral Trade Agreement (BTA) by fall 2025. Senior officials from both countries will engage to expand market access, lower tariff and non-tariff barriers, and deepen supply chain integration.
Recent Trade Talks Between India and the US
As part of these negotiations, Commerce Minister Piyush Goyal led an Indian delegation to Washington, DC, from March 3 to 6, where they met with the US Commerce Secretary and the US Trade Representative. The discussions focused on trade-related concerns that were raised during Prime Minister Narendra Modi’s visit to the US.
Authorities underscored that these kinds of negotiations are ongoing, with the two countries each having their economic interests and concerns, which are valid components of the negotiations.
Past Trade Negotiations Under the Trump Government
During Trump’s first term, the US and India negotiated a limited trade agreement, but it did not materialize for several reasons. Although talks have resumed, sources added that it is premature to disclose details as negotiations have to weigh both countries’ interests.
