The President of the United States, Donald Trump, announced that if a trade agreement with India is not signed, tariffs of up to 25 percent may be applied to the country. This was reported by Zamin.uz.
This warning was issued ahead of important negotiations scheduled for August 1. According to Trump, if a trade agreement with India is not reached, there is a possibility of increased tariff payments.
In recent months, representatives of the two countries have been discussing trade terms. There are various opinions about the outcome of the negotiations, with some being optimistic and others cautious.
Although Trump has referred to India as a "good friend," it has been difficult to overcome serious differences in the trade sector. He emphasized that India is one of the countries with the highest tariff rates, and this situation needs to change.
So far, the US has not issued an official notification regarding new tariff rates for India, but such documents have been sent to many other trading partners. The Indian government has not yet made an official statement, but Trade Minister Piyush Goyal has emphasized that there is a positive approach to the negotiations.
He stated that the agricultural sector is very important for India and that protecting the interests of farmers is a priority. Goyal also mentioned that the negotiations are progressing well and that he hopes to achieve an important cooperation agreement with the US.
The US has been demanding access to the Indian agricultural market for many years. The Trump administration considers access to this sector as a key direction for opening the Indian market.
India, on the other hand, strategically protects agriculture for domestic food security and the interests of millions of small farmers. In 2024, the trade volume between the US and India reached 190 billion dollars.
This made the US one of India's largest trading partners. Trump and Indian Prime Minister Narendra Modi aim to increase this figure to 500 billion dollars.
India has already reduced tariff rates on certain products, particularly Bourbon whiskey and motorcycles. Nevertheless, the US has not been able to eliminate a 45 billion dollar trade deficit with India, which is one of the main concerns of the Trump administration.
