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Trump Claims India Agreed to Eliminate Tariffs on US Goods

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FILE PHOTO: U.S. President Donald Trump meets with Indian Prime Minister Narendra Modi at the White House in Washington, D.C., U.S., February 13, 2025. REUTERS/Kevin Lamarque/File Photo/File Photo
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United States President Donald Trump said on Monday that India has offered to eliminate tariffs on American goods, even as relations between Washington and New Delhi face fresh strains.

In a post on Truth Social, Trump described the US-India trade relationship as “one-sided” but claimed New Delhi had now come forward with a proposal to reduce duties to zero. “They have now offered to cut their tariffs to nothing, but it’s getting late. They should have done so years ago,” he wrote.

The remarks come amid heightened trade tensions, with Washington recently imposing tariffs of up to 50 per cent on Indian exports, citing concerns over New Delhi’s continued purchases of Russian oil and alleged unfair trade practices.

The Indian Embassy in Washington did not immediately issue a response to Trump’s comments. Analysts say the statement could signal potential shifts in trade negotiations, though both sides remain at odds over broader economic and geopolitical issues.

Relations between Washington and New Delhi have sharply deteriorated after the United States imposed 50 per cent tariffs on a wide range of Indian imports last week. The move was framed as punishment for India’s large-scale purchases of Russian oil, part of Washington’s broader effort to squeeze Moscow over its war in Ukraine.

Since returning to the White House earlier this year, Donald Trump has used tariffs as a sweeping policy instrument, disrupting established trade flows and sparking disputes with both allies and rivals. India has not been spared, and the latest round of levies has added new strains to an already fragile relationship.

Amid the tensions, India has drawn closer to Beijing and Moscow. Prime Minister Narendra Modi is currently in Tianjin, China, attending the Shanghai Cooperation Organisation (SCO) summit, where he held talks with Chinese President Xi Jinping and Russian President Vladimir Putin.

New Delhi has strongly criticised the US measures, calling the tariffs “unfair, unjustified and unreasonable.” Trade talks have stalled for months, with disagreements over agriculture and dairy markets. Trump has pushed for expanded access for American products, while Modi has stood firm on protecting Indian farmers, a politically powerful constituency.

The United States remains India’s largest export market, with shipments worth $87.3 billion in 2024. However, analysts warn that the steep new tariffs amount to an effective trade embargo, especially for small and medium-sized businesses.

Exporters of textiles, seafood, and jewellery are already feeling the pinch, reporting cancelled orders from US buyers and rising losses to competitors in Bangladesh and Vietnam. Industry representatives fear that the downturn could lead to widespread job losses in India’s export-dependent sectors.

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