The Indian government informed Parliament that the US has not imposed reciprocal tariffs as of now. This comes after President Trump’s criticism of Indian tariffs. India and the US are negotiating a Bilateral Trade Agreement to enhance trade, aiming to more than double two-way commerce to USD 500 billion by 2030.
The Indian government recently updated Parliament regarding the status of reciprocal tariffs by the United States, affirming that no such tariffs have been implemented as of now. This clarification was made following criticism from US President Donald Trump regarding India’s high tariffs, which he deemed “very unfair,” prompting his announcements of potential reciprocal tariffs effective April 2 for nations that impose tariffs on American products.
Jitin Prasada highlighted a shared vision between India and the US to negotiate a comprehensive, mutually beneficial Bilateral Trade Agreement (BTA). The focus will include increasing market access, lowering both tariff and non-tariff barriers, and improving supply chain integration, as reported by news agency PTI.
On February 13, the US initiated a memorandum regarding reciprocal trade, mandating investigations into the impacts of non-reciprocal trade arrangements on the United States. The Secretary of Commerce and the United States Trade Representative are expected to provide a report detailing necessary actions and remedies for each affected trading partner.
During Prime Minister Narendra Modi’s recent visit to Washington, India and the US reaffirmed their commitment to more than doubling two-way trade to USD 500 billion by 2030, with plans to negotiate the first phase of the BTA by fall 2025.
In 2023, US-India trade reached an impressive USD 190.08 billion, including USD 123.89 billion from goods and USD 66.19 billion from services. India had a trade surplus of USD 43.65 billion, having exported goods worth USD 83.77 billion against imports valued at USD 40.12 billion. Over the period from 2021 to 2024, the US has emerged as India’s largest trading partner, maintaining a trade surplus for India.
In conclusion, the Indian government has confirmed that the US has not implemented reciprocal tariffs, amidst ongoing negotiations for a Bilateral Trade Agreement. The emphasis remains on enhancing trade relations by addressing tariffs and barriers. As trade figures suggest, the partnership continues to flourish with significant opportunities expected in the coming years, with both nations aiming for expansive economic collaboration.
Original Source: www.hindustantimes.com
