US President Donald Trump on Tuesday claimed that India has agreed to reduce tariffs on American goods to zero. He made this statement during a media interaction at the White House alongside Canadian Prime Minister Mark Carney. Trump suggested that the move was a result of his personal influence, saying, “They wouldn’t have done this for anybody else but me.”
He added, “India is one of the highest tariff nations in the world. We’re not going to put up with that, and they’ve already agreed to drop it.”
No Official Word from India
While Trump appeared confident, India has not made any official announcement confirming such a decision. Trade discussions between India and the US are still ongoing, and no public details have emerged from the Indian side about any finalized agreement.
Conditional Proposal by India
According to sources cited by Bloomberg, India has put forward a conditional proposal. This includes a zero-for-zero tariff agreement on specific items like steel, pharmaceuticals, and auto parts. However, the offer comes with a catch—only a limited volume of these goods will enjoy zero tariffs. If the import thresholds are crossed, standard duties would return.
This proposal was reportedly discussed during a high-level visit to Washington last month. The goal is to conclude a limited trade deal before the 90-day window set by Trump for suspending new tariffs comes to an end.
Concerns Around Regulatory Barriers
Alongside tariffs, the US has raised concerns about India’s strict Quality Control Orders. These orders set technical standards for goods sold in India, but US officials argue they are overly restrictive and not transparent.
India, on its part, is reportedly open to reviewing these orders in sectors such as chemicals and medical devices. A proposal for mutual recognition of product standards is also under discussion, though it’s unclear if that will make it into the final agreement.
What Lies Ahead
While Trump paints the picture of a done deal, the reality is more complex. India’s proposals appear to be conditional and reciprocal, not unilateral. As trade negotiations continue, both nations are pushing for favorable terms, and only time will tell if a balanced agreement is reached.
