The Indian government informed Parliament that the US has not imposed reciprocal tariffs, despite President Trump’s criticism of high tariffs. India and the US are working on a Bilateral Trade Agreement to increase market access and reduce barriers. In 2023, bilateral trade reached USD 190.08 billion, with India holding a trade surplus. Negotiations on trade tariffs remain ongoing without an agreement.
The Indian government recently clarified in Parliament that the United States has not yet imposed reciprocal tariffs on India. This announcement follows President Donald Trump’s remarks regarding high tariffs imposed by India and other nations, which he described as “very unfair”. The reciprocal tariffs were indicated to begin from April 2, 2023, for countries imposing levies on American goods.
Jitin Prasada emphasized that both the United States and India are committed to negotiating a mutually beneficial, multi-sector Bilateral Trade Agreement (BTA). The primary focus includes increasing market access, reducing both tariff and non-tariff barriers, and enhancing the integration of supply chains between the two nations.
On February 13, the US government issued a memorandum regarding tariffs, directing the commerce secretary and the United States Trade Representative to evaluate the impact of non-reciprocal trade arrangements on America and propose remedies accordingly.
During Prime Minister Narendra Modi’s visit to Washington, India and the US reaffirmed their goal to increase bilateral trade to USD 500 billion by 2030, while also commencing negotiations for a BTA in 2025. In 2023, trade between the countries reached USD 190.08 billion, with India maintaining a trade surplus of USD 43.65 billion owing to significant exports.
Currently, the United States stands as India’s largest trading partner from 2021 to 2024, where India continues to enjoy a surplus. Jitin Prasada asserted that India aims to enhance bilateral trade relations fairly, with ongoing efforts by exporters to diversify trade baskets and destinations. Additionally, Commerce Secretary Sunil Barthwal informed a Parliamentary panel that discussions on trade tariffs are still ongoing, with no agreements finalized as of yet.
In summary, the Indian government has confirmed that no reciprocal tariffs have been imposed by the United States as of now. The focus on a Bilateral Trade Agreement and reduction of trade barriers underscores the commitment of both nations to bolster economic relations. India’s notable trade surplus with the US highlights the significance of this partnership and ongoing negotiations aimed at fostering trade equity.
Original Source: www.hindustantimes.com
