US President Donald Trump repeated his criticism of India’s high tariffs, indicating the country remains a target of reciprocal duties set to take effect April 2.
“India’s a very high tariff nation,” Trump said Thursday during an Oval Office event, calling the upcoming reciprocal tariffs “the big one” among the many new duties he has pledged. India is expected to be hit hard by the like-for-like duties given the high tariffs it charges when compared with the US.
Trump’s remarks are the latest criticism of India’s trade barriers, which the US president has said unfairly penalize American businesses. The remarks come as Indian Commerce Minister Piyush Goyal visits the US this week to meet with Trump administration officials to discuss trade policy between the two countries.
During a White House meeting in February, Indian Prime Minister Narendra Modi and President Trump reached an agreement to increase their bilateral trade to £500 billion by 2030. and negotiate a trade deal by the fall of this year. Indian officials are hoping that ongoing discussions toward such a deal will give the country a reprieve from the April 2 duties.
Trump hasn’t indicated whether any countries will be exempted from the reciprocal tariffs. However, the US president on Thursday offered major reprieves to Mexico and Canada, the US’s two largest trading partners, by exempting goods from those nations that are covered by the North American trade agreement known as USMCA from his 25 per cent tariffs.
Modi’s government has made numerous concessions to the Trump administration in recent weeks in a bid to smooth over relations. Among the efforts was a wide-ranging reduction in tariffs on products including high-end motorcycles and whiskey, and pledges to buy more US energy and weapons.
New Delhi has signaled that it remains open to deeper tariff cuts. Indian officials have discussed reducing duties on cars, some agricultural products, chemicals, critical pharmaceuticals, as well as certain medical devices and electronics, Bloomberg News reported last week.
Preserving India’s access to the US market is a major priority for Modi’s government. Trade between the two countries grew to $127 billion in 2023, making the US India’s largest trading partner and putting pressure on New Delhi to strike a deal soon. By contrast, India is only the ninth-largest trading partner for the US.
