Trump had said that India was a high-tariff nation and reciprocal tariffs on countries that impose levies on American goods would kick in on April 2.
New Delhi:US President Donald Trump has expressed a favorable outlook on tariff negotiations with India, praising Prime Minister Narendra Modi as a “very smart man.” This statement comes amid growing concerns over trade practices, as Trump prepares to implement reciprocal tariffs on imports, including vehicles, starting April 2.
Trump, speaking at a press conference, highlighted that India is among the nations with the highest tariffs globally. He conveyed his belief that Modi, who recently visited Washington, is not only a wise leader but also a close associate. “We had very good talks,” Trump noted, expressing optimism that the ongoing dialogue will yield beneficial outcomes for both countries.
As part of these trade discussions, Trump announced a significant 25% tariff on all imported vehicles, which is anticipated to impact nearly half of the vehicles sold in the United States, affecting both foreign manufacturers and American brands that assemble cars overseas. This move aligns with Trump’s strategy of enforcing tariffs that are reciprocal to those imposed by other nations.
Furthermore, Trump reiterated his commitment to fairness in trade, advocating for tariffs that match those charged by countries such as India and China. “Whatever a company or a country charges, we want to be fair,” he stated, indicating that US tariffs are intended to level the playing field for American businesses.
The backdrop to these discussions includes Modi’s recent visit to the US, where both leaders sought to strengthen the bilateral trade relationship. During the visit, they established a new trade initiative known as “Mission 500,” with an ambitious target to double the trade between India and the US to $500 billion by 2030. This reflects a shared commitment to enhancing economic cooperation and job creation in both countries.
