NEW DELHI: Indian Prime Minister Narendra Modi is making ready further tariff cuts forward of his assembly with US President Donald Trump that might enhance American exports to India and keep away from a possible commerce conflict, authorities officers stated.
Modi’s journey to the US on Wednesday (Feb 12) and Thursday comes as Trump plans to announce reciprocal tariffs on many international locations, a transfer geared toward reshaping international commerce relationships in favour of the US.
Trump has not specified which international locations could be hit however has beforehand referred to as India a “very large abuser” of commerce and careworn that India should purchase extra American-made safety tools to move toward a fair bilateral trading relationship.
India is contemplating tariff reductions in a minimum of a dozen sectors, together with digital, medical and surgical tools, together with some chemical substances, to lift US exports. These reductions align with New Delhi’s home manufacturing plans, three authorities officers stated.
The officers, who spoke on situation of anonymity, stated that concessions are being thought of for gadgets that India primarily sources from the US or has the potential to purchase extra of, comparable to dish antennas and wooden pulp. Modi is predicted to debate tariffs with Trump subsequent week and India is open to discussing a attainable mini commerce deal.
The early go to hopes to keep away from a “commerce war-like state of affairs that’s taking place between the US and China”, a 3rd official stated. Trump imposed sweeping 10 per cent tariffs on Chinese imports, prompting Beijing to reply with duties on American vitality.
