NEW DELHI: US President Donald Trump on Friday claimed that India had agreed to significantly reduce tariffs, crediting his administration for pressuring high-tariff countries.
“India charges us massive tariffs; you can’t even sell anything in India—it’s almost restrictive… But they have now agreed to cut tariffs way down because someone is finally exposing them,” Trump told reporters at the White House.
His remarks came as an Indian delegation, led by Commerce and Industry Minister Piyush Goyal, is in the US negotiating a bilateral trade agreement. The Indian government has so far remained tight-lipped about the ongoing discussions.
US Calls for ‘Grand’ Trade Deal, End to Russian Defense Ties
Earlier in the day, US Commerce Secretary Howard Lutnick urged India to strike a comprehensive trade agreement rather than negotiating sector-by-sector. Speaking at the India Today Conclave, he emphasized the need for India to reduce tariffs and reconsider its defense purchases from Russia.
“It’s time for something big—something that connects India and the US on a broad scale,” Lutnick said. “Let’s bring India’s tariff policy towards America down, and America will, in turn, offer extraordinary opportunities for India.”
He also called for India to open up its agricultural sector, long considered off-limits due to domestic sensitivities. “The farm sector can’t stay closed forever; it has to open up—perhaps through quotas or phased liberalization,” he suggested, acknowledging that full-scale deregulation might not be feasible.
US Seeks Stronger Strategic Alignment
Lutnick also linked trade discussions with geopolitical considerations, criticizing India’s historical military purchases from Russia. “India has been a major buyer of Russian defense equipment—this must change,” he said, urging New Delhi to align more closely with Washington.
He also took a swipe at BRICS, where China has proposed a common currency—a move Trump sees as an attempt to undermine the US dollar. “These are the kinds of things that don’t foster the love and affection we feel for India. We want fair trade and a strong, strategic relationship,” he asserted.
China Tariffs Under Review
On China, Lutnick warned of broader tariff actions by the US, citing Beijing’s high import duties and alleged role in opioid production. “Current tariffs on China are because of opioid production… In April, we will discuss an even wider range of trade measures,” he added.
As trade negotiations continue, India is under increasing pressure to make concessions, particularly in agriculture and defense, while balancing its economic and strategic interests.