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India-US Tariff Talks: India Denies Reduction Commitment

11 March 20251 min read
INTERNATIONAL AFFAIRSIndia-US TariffTalks: India DeniesReductionCommitment11 March 2025safalsetu.com

Why in the news

New Delhi rebutted Trump’s 8 March 2025 statement that India had agreed to lower tariffs, adding that the US had set no official deadline.

Key facts

  • India seeks time until September 2025 for the BTA.
  • Duties on some goods such as nuts may fall; the dairy sector will be shielded.
  • Any relief is bilateral, not an MFN concession.
  • Commerce Secretary Sunil Barthwal said India’s ties with the US differ from those of Canada and Mexico, with no immigration or border-security angle.
Trump’s statementIndia’s position
India agreed to cut tariffsNo commitment; talks aim at mutual benefit
High Indian duties hurt US exportsRelief only in bilateral format
Reciprocal US tariffs from 2 April 2025No official deadline received

Panel briefing

  • The parliamentary committee, chaired by Shashi Tharoor (30 members), heard from Barthwal and Foreign Secretary Vikram Misri.
  • Also covered: China’s reported mega dam plan on the Brahmaputra.

Exam angle

  • Terms: BTA, MFN, reciprocal tariff.

Test yourself

1. India asked for more time, till which month of 2025, to negotiate the Bilateral Trade Agreement with the US?

India sought an extended timeline until September 2025 for the BTA.

2. Which sector did India say it would protect while possibly lowering duties on items like nuts in US tariff talks?

India said it may cut tariffs on nuts but will protect its dairy industry.

3. Who heads the 30-member parliamentary panel briefed on India-US trade talks?

The panel is headed by Congress MP Shashi Tharoor.