New Delhi: Even as US President Donald Trump announced that reciprocal tariffs against India would take effect within two weeks, India stated on Friday (March 21) that it was “actively” working on a bilateral trade agreement aimed at reducing both tariff and non-tariff barriers.
Earlier, on Wednesday, Trump told Breitbart News that India is “going to probably … be lowering those tariffs substantially,” but that “on April 2, we will be charging them the same tariffs they charge us”.
Since beginning his second term in January, Trump has repeatedly cited India alongside other trade partners as having high tariff rates.
Last month, Prime Minister Narendra Modi was among the first foreign leaders to visit Washington after Trump took office.
Even as Modi was in town, Trump unveiled plans to impose tariffs on imported goods, referencing India’s average tariffs on agricultural products and motorcycles.
The key takeaway from the visit, as highlighted by both India and the US, was their intention to finalise a “mutually beneficial” free trade agreement (FTA) by autumn.
India has since repeatedly brought up the ongoing FTA negotiations whenever Trump publicly mentions the impending tariff imposition.
India’s bilateral trade with the US stood at $190 billion in 2023.
“India and the US are in the process of advancing bilateral trade negotiations. The two governments are actively working on a framework for the BTA [bilateral trade agreement], which aims to expand trade, enhance market access, reduce tariff and non-tariff barriers, and deepen supply chain integration,” external affairs ministry spokesperson Randhir Jaiswal said on Friday in response to Trump’s latest remarks on tariffs.
He noted that commerce minister Piyush Goyal had visited the US earlier this month for talks.
“The government of India remains engaged with the US administration at various levels to reach a mutually beneficial, multi-sector bilateral trade agreement. That is what I have to convey in response to your question,” he said.
Separately, Jaiswal said India had raised concerns about the “anti-India activities of secessionist elements” with visiting US director of national intelligence Tulsi Gabbard, adding, “It is our expectation that the US side will take appropriate action in this regard.”
His remarks at the weekly media briefing were in response to a question about reports that defence minister Rajnath Singh had urged Gabbard to take action against the Sikhs for Justice (SFJ) group.
Notably, Gabbard made no mention in her public remarks in Delhi – whether in media interviews or public speeches – of India’s concerns regarding groups like the SFJ, which is banned by the Indian government.
