Daijiworld Media Network - Washington
Washington, Apr 3: The United States has imposed an additional 27% duty on Indian goods under an executive order signed by President Donald Trump, the Commerce and Industry Ministry, led by Piyush Goyal, said on Thursday. The ministry is closely evaluating the implications of the new tariff structure on Indian trade and exports.
President Trump’s executive order on reciprocal tariffs introduces ad-valorem duties ranging from 10% to 50% on imports from all trading partners. The baseline duty of 10% will take effect on April 5, 2025, while country-specific additional duties, including the 27% tariff on Indian goods, will be enforced from April 9.
In response, the Commerce Ministry stated that it is actively engaging with Indian industries and exporters to assess the impact of these tariffs and explore potential opportunities arising from the shift in US trade policy. The ministry emphasized that this evaluation aligns with India’s vision of "Viksit Bharat," aiming to protect national economic interests while seeking strategic benefits.
On February 13, Prime Minister Narendra Modi and President Trump had jointly announced the "Mission 500" initiative, aiming to expand bilateral trade beyond $500 billion by 2030. As part of this effort, trade negotiations between India and the US are underway, with discussions focusing on a comprehensive multi-sectoral Bilateral Trade Agreement. The talks cover crucial areas such as supply chain integration, investment flows, and technology collaboration.
The Commerce Ministry reaffirmed India’s commitment to deepening its economic relationship with the US, emphasizing the Comprehensive Global Strategic Partnership between the two nations. It highlighted the importance of the India-US "Catalysing Opportunities for Military Partnership, Accelerated Commerce & Technology" (COMPACT) framework, which seeks to drive mutual prosperity and transformative economic growth.
Despite the new tariffs, India remains engaged with the US administration to navigate trade challenges and ensure that bilateral ties continue to strengthen in the coming years.