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Trump’s order imposes 27% tariff on Indian goods; India engages in talks with US

President Trump’s executive order introduces reciprocal tariffs ranging from 10% to 50% on imports from all trading partners, with a baseline 10% duty coming into effect on April 5, 2025

Northeast NewsbyNortheast News
April 3, 2025
in Business, Neighbours
US Donald Trump (POTUS45/X)
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New Delhi: The Indian government is closely examining the implications of a fresh set of tariffs imposed by U.S. President Donald Trump, which will see an additional 27% duty on Indian exports to the United States.

The Ministry of Commerce and Industry, led by Piyush Goyal, stated on Thursday that it is assessing the impact of these measures and engaging with stakeholders to determine the way forward.

President Trump’s executive order introduces reciprocal tariffs ranging from 10% to 50% on imports from all trading partners, with a baseline 10% duty coming into effect on April 5, 2025.

The remaining country-specific levies, including the 27% tariff on Indian goods, will take effect from April 9.

In an official statement, the Commerce Ministry emphasised its commitment to safeguarding India’s trade interests, saying, “The Department of Commerce is carefully examining the implications of the U.S. measures. Keeping in mind the vision of Viksit Bharat, we are actively engaging with Indian industry and exporters to gather feedback and assess both the challenges and potential opportunities arising from these developments.”

This move comes amid ongoing negotiations between India and the U.S. for a comprehensive Bilateral Trade Agreement (BTA).

Discussions, which began following the announcement of the Mission 500 initiative in February, aim to more than double bilateral trade to $500 billion by 2030.

Key areas under negotiation include supply chain integration, investment flows, and technology transfers.

The ministry reaffirmed India’s commitment to strengthening its economic ties with Washington, stating, “We remain in close contact with the Trump administration and are working towards a mutually beneficial agreement that ensures trade remains a pillar of prosperity for both nations.”

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It also highlighted India’s dedication to implementing the India-U.S. Catalyzing Opportunities for Military Partnership, Accelerated Commerce & Technology (COMPACT) framework to bolster economic and strategic collaboration.

While the new tariffs pose challenges for Indian exporters, officials maintain that ongoing trade discussions could offer a pathway to mitigate the impact and create new opportunities in the evolving global trade landscape.

Tags: Indian goodsIndian governmentTariffUS President Donald Trump
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