Washington: US President Donald Trump has voiced strong optimism about an impending trade agreement with India, describing Prime Minister Narendra Modi as a close ally with whom he shares a warm personal rapport. The remarks come shortly after the US administration indicated plans to levy additional 12.5 percent tariffs on imports from India and 53 other nations over concerns related to forced labour.
Speaking to reporters at the White House, Trump emphasised the potential for a swift resolution in bilateral trade talks. “We will get to a deal because I like your prime minister a lot. He is a good friend of mine, and we get along well. We have a good relationship,” he stated.
Addressing questions on ongoing negotiations, Trump accused India of having long exploited US trade policies by imposing steep tariffs while facing minimal barriers in the American market. “For years, India took advantage of the United States… They charged us tremendous tariffs and paid nothing… Now it is the exact reverse, and we are making a lot of money with India,” he remarked.
A US delegation visited India earlier this week to advance discussions on an interim bilateral trade agreement. According to India’s commerce ministry, the talks proceeded in a constructive atmosphere of cooperation and pragmatism, with both sides committed to securing a mutually advantageous pact that bolsters economic relations.
ALSO READ : A 454-Gram Meteorite Points To An Earth-Like Diminished Planet
Trump also highlighted the challenges faced by American manufacturer Harley-Davidson, noting that previous high Indian tariffs—reportedly up to 200 percent—had hindered sales of its motorcycles in the country, prompting the company to establish local production facilities. In contrast, he pointed out that Indian motorcycle brands encountered no equivalent restrictions in the US market.
The latest developments build on earlier progress. Following a February 7 telephone conversation between Trump and Modi, the two countries outlined the framework for the first phase of a Bilateral Trade Agreement (BTA). Under that arrangement, the US committed to lowering certain tariffs on Indian goods from 50 percent to 18 percent and adjusting duties linked to India’s purchase of Russian oil.
However, subsequent legal and policy shifts complicated matters. On February 20, the US Supreme Court struck down Trump’s broader reciprocal tariff measures, which had been enacted under the 1977 International Emergency Economic Powers Act (IEEPA). In response, the president introduced a 10 percent tariff on imports from all countries for a 150-day period starting February 24. India and the US have since continued renegotiating the trade deal in light of these changes.
-
-
-
-
