Trump announces reciprocal tariffs on India heightening tensions
In a bold move that signals escalating trade tensions, US President Donald Trump announced on March 5 that Washington will impose reciprocal tariffs on all imports from India, effective April 2. The decision follows what Trump has described as “very unfair” tariff practices by India and other countries, including China and the European Union. This latest tariff measure underscores the increasingly protectionist stance of the Trump administration as it seeks to redress what it views as longstanding trade imbalances.
During a joint session of Congress, Trump expressed frustration over the high tariffs imposed by various nations on American goods, singling out India’s automobile sector. “India charges us auto tariffs higher than 100%. It’s very unfair,” he stated, arguing that many other nations, including Canada, Mexico, and Brazil, have also been levying disproportionately high tariffs on US exports. Trump’s rhetoric reflects his broader economic nationalism, which has shaped much of his trade policy.
The issue of reciprocal tariffs had reportedly been raised by Indian Prime Minister Narendra Modi in his meeting with Trump in Washington last month. Reports suggest that New Delhi has been compiling detailed fact sheets on existing import duties affecting major US industrial goods exported to India. However, despite diplomatic discussions, Trump’s administration has moved forward with its plans, signaling its intent to enforce stricter trade policies globally.
Despite the latest setback, both the US and India have committed to expanding their bilateral trade relationship, with an ambitious target of reaching $500 billion in trade volume by 2030-more........
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