New Delhi is likely to be the most controversial issue between India and the United States, and is moving to relieve concerns of President Donald Trump, who has nominated India in high tariffs. It is shown.
The government reduces the duty of imports that can help India to increase the imports of the United States. These include high -end motorcycles and cars that potentially benefit American companies like Harley Davidson.
In a speech to Republican members last week, Trump called India, along with China and Brazil, along with a “tremendous tariff manufacturer.” And I pledged tariffs on countries that harm our interests. He also called India a “very large abuse of tariffs” during the election campaign.
According to the White House’s statement, the US President emphasized the importance of moving toward “fair bilateral trading” on a phone call between President Trump and Prime Minister Narendra Modi in India last Monday. I was.
The threat of tariffs is a major concern for New Delhi, as the United States is the largest trade partner in India. The two -country trade between the two countries in 2023 was nearly $ 120 billion, and the $ 30 billion surplus was advantageous for India.
According to AJAY SRIVASTAVA, the founder of Global Trade Initiative, a think tank based in Delhi, “these latest reductions in tariffs are sectors in sectors such as automobiles, technology, and some of the space sector components. It shows a policy shift that can enhance exports, but the profits for American companies may not be so large because the United States is a small exporter for these items. “
Trading is expected to be one of the biggest issues discussed between India’s Prime Minister Modi and Prime Minister Trump, who will meet this month.
“We don’t want to give anyone a signal to be a protectionist,” said the Secretary of Finance, Tou Hin Kanta Pandy, who announced a reduction in missions on Saturday’s annual budget presentation. I talked to. “Our attitude is that you don’t want to increase your protection.”
However, analysts say that reduction in India is unlikely to relieve concerns about the Trump administration. This wants to open the market for various products such as agricultural products, steel, and petroleum. India’s average tariffs are much higher than Japan and China.
Analysts say that the closely strategic partnership built by India and the United States may avoid friction on trade issues.
“Lowering tariffs is a symbolic approach. According to Manji Joshi, a famous friend of the New Delhi Observer Research Foundation, I did some gestures, but there was nothing to satisfy Trump. “I think the United States will put more pressure on tariffs. I asked a question.
In a conversation with Modi last week, Trump stated that India should increase the “procurement of US -made security equipment.”
India has been the world’s largest weapon importer in recent years, spending billions of dollars to modernize the army. Russia has been the largest supplier for decades, but Western countries such as France and the United States are now emerging as major suppliers.
“In India, there is a range of purchasing more weapons from the United States, where fighters can become components,” says Rahul Bedi, defense analyst. “It will help to reduce the tension of trade.”
According to analysts, India is in “waiting and clock mode” after Trump imposed tariffs on Canada, Mexico and China.
“The world’s trade environment is in uncertainty. We have to wait for Trump to visit India,” said Slivastaba, a trade expert. “I adjust India to a place where I can do it, but it’s a completely unknown territory, no one can really plan it.”
In addition, when companies have finished the designation of India as a developing country that has allowed the United States to export hundreds of products that have not been exempted, Trump’s friction during the previous term as the president. It broke out. India has retaliated by raising the duties of some American products.
