US President Donald Trump announces plans to impose reciprocal tariffs on India and China, citing unfair trade practices and high import duties on American goods.
Washington DC [US], February 22: US President Donald Trump has declared that his administration will soon introduce reciprocal tariffs on countries like India and China, ensuring that the United States levies the same import duties that these nations impose on American goods.
“We will soon impose reciprocal tariffs—they charge us, we charge them,” Trump stated.
“Whatever a company or a country, such as India or China, charges, we want to be fair; hence, reciprocal. We have never done that before. We were getting ready to do it until COVID hit.”
India’s Tariff Policies Under Scrutiny
Trump has previously criticized India’s trade policies, describing the country as one of the most challenging places to do business due to its high tariff structure.
Before his bilateral meeting with Indian Prime Minister Narendra Modi, Trump remarked:
“India has the highest tariffs. It is a hard place to do business.”
His comments gained further traction after Tesla CEO Elon Musk’s meeting with PM Modi, where trade regulations and potential Tesla investments in India were reportedly discussed.
“I assume Elon Musk wants to do business in India. But India is a very hard place to do business because of the tariffs. They have the highest tariffs… I would imagine he met possibly because he is running a company, and this is something he has felt strongly about for a long time,” Trump said.
Harley-Davidson Case & US Trade Concerns
Trump cited the Harley-Davidson motorcycle case as a prime example of unfair trade policies, claiming that India’s exorbitant import duties forced the company to manufacture locally instead of exporting from the US.
“Traditionally, India is right at the top of the pack. There are a couple of smaller countries that charge even more, but India imposes tremendous tariffs,” Trump noted.
“I remember when Harley-Davidson couldn’t sell their motorbikes in India because the tax was so high. The tariff was so high that Harley was forced to build in India,” he added, as reported by US Network Pool via Reuters.
Impact on US-India Trade Relations
Trump’s renewed push for tariff equalization signals a potential shift in US-India trade dynamics. If implemented, these reciprocal tariffs could impact bilateral trade, manufacturing decisions, and diplomatic relations between Washington and New Delhi.
With Trump preparing for a potential return to the White House, his trade policies could significantly reshape global commerce and US engagement with key partners like India and China.
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Donald Trump, India trade, China trade, US tariffs, reciprocal tariffs, trade war, India-US relations, China-US trade, Harley-Davidson India, Tesla India, Narendra Modi, US economy, global trade policy, economic sanctions