Now the day is not a few hours in the implementation of American tariff. Countries with whom America’s trade deal has not been done, those countries may have heavy tariffs from August 1. Now the biggest question is whether US President Donald Trump will play friendship with India? This question is important because America has been seen praising India and the Prime Minister of India Narendra Modi on all the platforms around the world, but whenever it comes to tariff, he was also seen addressing India in the name of ‘Tariff King’.
Returning to Washington from a five -day visit to Scotland, Trump said in Air Force One that India has been a good friend, but India has imposed more tariffs than almost any other country. You cannot do this. President Donald Trump said that the tariff rate of 20 per cent to 25 per cent can be applicable to India, as well as said that it is not a final as the two countries are talking on the trade deal before the deadline of 1 August.
When reporters were asked on Tuesday whether this is a possible tariff rate for New Delhi, Trump said that I think so. The Indian rupee continued to fall by three days due to the threat of tariff, while the BSE Sensex is doing stable business by losing an initial lead. The rupee has fallen 0.5 percent to 87.24 against the dollar.
Will tariff come below 20 percent
20 percent or more tariffs will be very harmful for India. Whereas India is looking for a better deal than 19 percent tariffs imposed on Indonesia and Philippines. Bloomberg stated early this month that the US and India are working towards an agreement, which would bring the proposed tariffs below 20 per cent, while Prime Minister Narendra Modi’s administration has opposed the demand to open Agri and Dairy sectors.
In the condition of anonymity, an official said in a media report that India is also waiting for the information from the White House for how many tariffs will be faced by the South Asian country after the deadline of August 1. At present, the possibility of interim agreement is low, but India is optimistic about reaching the trade agreement by autumn. India and America have so far had a five -round -round talks and a business team from Washington is expected to come to New Delhi by the mid of August.
India became angry with Trump’s statements
In recent months, there has been some upheaval in relations with America. Trump said that India and Pakistan reached the ceasefire in April due to his business threats, annoying the officials of New Delhi, and the US President has also threatened that if President Vladimir Putin does not end enmity with Putin Ukraine, he would impose “secondary tariffs” on India, China and other Russian oil buyers.
American trade representative Zamison Greer said on Monday that the US needs more time to negotiate with India to find out whether India wishes to open its market further for American exports. Reuters had already reported on Tuesday that New Delhi is ready for high tariffs ranging from 20 percent to 25 percent.
Where are things stuck
Bloomberg quoted the officials familiar with the matter earlier this month that India had informed the Trump administration about the borders that it would not violate while finalizing the agreement. India has expressed a desire to impose zero tariffs on some goods like auto components and pharmaceuticals. In view of India’s pressure to protect the politically sensitive agricultural sector, the Modi government has taken a more vigilant stand.
Millions of people are dependent on agriculture for their livelihood and farmer is an important voter group for Modi’s party. India and the United States have already signed reference terms for a bilateral trade agreement and are negotiating an interim agreement that New Delhi hopes that it will get relief from high American import duty.