Commerce Minister Piyush Goyal concluded his US visit last Saturday and the Ministry plans consultations with exporters this week.
Amid fears among exporters of higher tariffs in the lucrative US market from April 2 when reciprocal tariffs are set to come into effect, the Ministry of Commerce and Industry told Lok Sabha Tuesday that the government is engaging with the US to eliminate tariffs and non-tariff barriers and improve trade.
Commerce Minister Piyush Goyal concluded his US visit last Saturday and the Ministry plans consultations with exporters this week.
Representatives from sectors including automobiles, leather, textiles, electronics and pharmaceuticals, among others, are expected to present their stance on tariff concessions that may be offered to the US during trade negotiations, The Indian Express has learnt.
Concerns over concessions grew after US President Donald Trump said last Friday that India had agreed to cut tariffs after being “exposed” for being restrictive from a trade perspective and making it difficult for American companies to do business in India. US Secretary of Commerce Howard Lutnick also said that India’s agriculture sector “must open up” for US products.
In a written reply in Lok Sabha Tuesday, Minister of State for Commerce and Industry Jitin Prasada said the “Indian government continues to engage with the United States” to enhance and broaden bilateral trade ties in a mutually beneficial and fair manner.
Responding to a question by Congress MP K Sudhakaran and TMC MP Sayani Ghosh on the impact of reciprocal tariffs, Prasada reiterated that the US had not yet implemented reciprocal tariffs on India and that both countries would focus on “increasing market access, reducing tariff and non-tariff barriers, and enhancing supply chain integration.”
“The US issued a Memorandum on Reciprocal Trade and Tariffs on February 13, 2025, instructing the Secretary of Commerce and the United States Trade Representative to investigate harm to the US from any non-reciprocal trade agreements adopted by trading partners. A report with detailed proposed remedies for each trading partner is to be submitted, based on which US action could then be undertaken under relevant US legislation. As of now, reciprocal tariffs have not been applied by the US on India,” he said in his reply.
“The Government of India continues to engage with the Government of the United States to enhance and broaden bilateral trade ties in a mutually beneficial and fair manner. Both nations released a joint statement on February 13, 2025, reaffirming their commitment to deepening economic ties. Under the ambitious ‘Mission 500’, both countries aim to more than double US-India trade to $500 billion by 2030 through deepening trade relations across multiple sectors,” he said.
Notably, Trump on Tuesday announced additional 25 per cent tariffs on steel and aluminium from Canada and Mexico amid a widening trade war. Shares on Wall Street slumped Monday, recording one of the worst trading days since 2022, driven by concerns over the impact of Trump’s trade policies on the US economy.
Commerce Secretary Sunil Barthwal told a Parliamentary panel Monday that negotiations between the two countries are ongoing and no agreement on trade tariffs had been reached so far.
Barthwal briefed the Parliamentary Committee on External Affairs on Trump’s recent claim that India had agreed to reduce its tariffs “way down,” while Foreign Secretary Vikram Misri updated the committee on China and Europe.