President Donald Trump acknowledges a strong relationship with India but criticizes its high tariffs. He threatens reciprocal tariffs if changes are not made by April 2. Discussions on a Bilateral Trade Agreement are ongoing, with both nations seeking to enhance trade relations.
US President Donald Trump expressed that while he maintains a strong relationship with India, high tariffs imposed by the country are a significant issue. During an interview with Breitbart News, Trump emphasized that India is among the highest tariffing nations globally, threatening to impose similar tariffs on India starting April 2 if changes are not made.
Trump referred to the India-Middle East-Europe-Economic Corridor (IMEC) as a coalition of nations working together to protect each other’s trade interests. He criticized how the US often engages in better trade relationships with adversaries compared to allies like the European Union, insisting, “We can’t let those partners treat us badly.”
Once again labeling India as a “tariff king,” Trump pointed out the difficulties of selling into India due to its strong trade barriers and tariffs. He mentioned the need for reciprocal tariffs due to India’s high charges on American goods. Recently, Commerce Secretary Sunil Barthwal stated that trade negotiations between India and the US are ongoing, with no final agreement reached yet.
India has expressed interest in enhancing trade relations with the US through a bilateral trade agreement that aims to lower tariff and non-tariff barriers. During Prime Minister Modi’s visit to the US, both nations announced intentions to negotiate a mutually beneficial multi-sector Bilateral Trade Agreement (BTA).
Trump’s comments underscore the tension in US-India trade relations, primarily revolving around high tariffs imposed by India. His administration’s readiness to impose reciprocal tariffs indicates potential escalating trade conflicts. However, both countries are actively engaged in negotiations to establish a more favorable trading environment through a Bilateral Trade Agreement, aiming for reduced barriers and stronger economic ties.
Original Source: www.business-standard.com
