Indian External Affairs Minister S. Jaishankar said any trade agreement with the United States must be ‘mutually beneficial.’
President Donald Trump said on May 15 that India has offered a zero-tariff trade deal with the United States, although an Indian official later responded that no decision has been made yet.
Speaking to business leaders in Doha, Qatar, Trump called India “one of the highest tariff nations in the world” and voiced his disapproval of Apple CEO Tim Cook’s plan to move the company’s production to India.
“It’s very hard to sell into India, and they’ve offered us a deal where basically they are willing to literally charge us no tariff,” Trump said. “They’re the highest, and now they’re saying no tariff.”
Trump did not provide details about the potential deal with India. Last month, he announced a raft of reciprocal tariffs on nearly all countries, including a 26 percent tariff on India as part of an effort to close trade deficits and curb unfair trade practices against the United States.
Trump subsequently granted a 90-day pause to most countries to allow time for negotiations, while imposing a baseline 10 percent tariff. India has been seeking to reach a trade deal that will help it avert the tariff hikes.
Following Trump’s recent remarks, Indian External Affairs Minister S. Jaishankar said that trade negotiations with U.S. officials are still ongoing and that no decision has been reached yet.
Jaishankar told reporters on May 15 that any trade agreement with the United States must be “mutually beneficial” and serve the interests of both nations.
“These are very complicated negotiations. They are very intricate,” he said. “Any trade deal has to work for both countries, and I think that would be our expectation from the trade deal, and until that is done, I think any judgement on it would be premature.”
India has reduced duties on some U.S. products such as bourbon whiskey, motorcycles, information and communication technology products, and metals, while also enhancing market access for U.S. agricultural products and medical devices to secure a trade deal with the United States, according to a Feb. 13 joint statement.
