- India offers zero tariffs on many US goods, aiming to grow trade.
- Trump tariff talks progress, with India seeking exemption from US tariff hikes.
- US paused extra tariffs on Indian exports until July 9 to aid negotiations.
On Thursday, during his West Asia tour in Doha, US President Donald Trump shared exciting news about trade talks with India.
India offered a deal to cut tariffs on many American products to nearly zero. This is a major step in the ongoing talks between Washington and New Delhi, which aim to fix tariff issues and open markets.
Trump first hinted at this progress on April 30 in Michigan, saying the Trump tariff talks with India were going well and a deal was close.
Trump Tariff Talks Heat Up
India’s offer is a bold move to strengthen trade with the US. A report from May 9 said India plans to lower its average tariff gap with the US from about 13 percent to under 4 percent, a huge drop.
In the first stage, India would set zero tariffs on 60 percent of products and give special access to 90 percent of US goods, according to two Indian officials.
This fits with the Trump tariff plan to support US manufacturing and shrink trade gaps. In return, India wants a full pass from current and future US tariff increases, something even the UK didn’t fully get in its recent US trade deal.
On April 10, the US paused extra Trump tariffs on Indian goods for 90 days, until July 9, as a friendly move to keep talks moving. This came after a major US tariff change on April 2, which added duties on goods from nearly 60 countries, including a 26 percent tax on Indian products like seafood and steel.
These Trump tariff measures were meant to favor US companies but forced India to pursue a better trade agreement.
Big Hopes, Tough Road Ahead
The agreement promises improved US-India trade, but there are still impediments. India’s bid for a total waiver from Trump tariff hikes is delicate since the US is reticent to make such a large commitment.
The talks also coincide with increased global trade tensions, with the US calling for equitable deals that serve the country’s economy. For India, the deal can increase exports and relations with the US, but it also must protect its industries.
These talks demonstrate that both nations are keen on settling trade concerns.If the deal happens, it could shape future agreements and strengthen US-India ties.
With the July 9 tariff pause deadline nearing, everyone is watching to see if this bold plan becomes real. The Trump tariff talks with India are at a key moment, and both nations hope for a win-win outcome.
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