President Donald Trump said India could face 25 percent tariffs without completing a trade contract with the United States this week.
“Yes, I think so.” He told reporters when he asked if Delhi would face higher tariffs when there was no agreement.
The United States has set up a deadline on August 1 in order for India and other countries to reach trade agreements or increase tariffs.
India and US officials have been negotiating trade transactions for the last few months, but officials have alternated with optimistic and cautious sounds about the time they were announced.
Trump said when he asked what he expected in potential deals with India, “We will see. India was a good friend, but India basically prosecuted more tariffs than other countries.”
“But now you have to take responsibility and you can’t do that.”
The BBC contacted the Indian Commerce Department for mention.
Targets are taxes for products imported from other countries. The US president repeatedly took the high tariffs of India and branded the “big abuse” in trade relations with the “tariff king”.
Trump has not yet seen a letter that sets a new tariff rate, like more than 12 other trading partners.
In April, Trump announced up to 27%tariffs on Indian products and later suspended.
Since then, both sides have been racing to negotiate contracts that are sometimes measured with positive sounds.
“We are talking with the other person in India. We have always had a very constructive discussion with them,” said Jamieson Greer, the US trade representative, earlier this week.
He also said that he had previously said that the deal with India was “imminent,” but he admitted that Delhi’s trade policy was “very long protectionist” and “to be premised to protect the domestic market strongly.”
GREER added that Trump is focusing on securing another market in the United States.
Agriculture and dairy products are one of the core points of both countries.
For many years, Washington has increased access to the Indian farm sector and has been seen as a major unexplored market. But India has strongly protected it, citing food security, livelihoods and the interests of millions of small farmers.
Last week, PIYUSH GOYAL, Minister of India, told CNBC that the agricultural sector would be sensitive to India and the interests of farmers would be “well protected.”
GOYAL also told the news agency that it would maintain “optimistic” for India’s signing a contract with Washington.
In an interview with Reuters, India said in a dialogue with the United States, “fantastic progress,” he said, “I hoped to finish a very consequent partnership.”
Until recently, the United States was the largest trading partner in India, and in 2024, quantum trade reached $ 19 billion. Trump and Modi have set this number more than doubled to $ 500 billion.
India has already reduced tariffs on a variety of products, including Bourbon whiskey and motorcycles, but the United States continues to operate a $ 450 billion trade deficit with India, which wants to reduce Trump.
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