Trump expects India to cut tariffs, threatens April 2 retaliation

New York: President Donald Trump has said that he believes India will lower its tariffs on American goods, even as he reiterated his threat to impose reciprocal US tariffs on the country starting April 2.

In an interview with Breitbart News, an American news, opinion, and commentary website, Trump discussed the US' relationship with India.

Asked about his summit with Prime Minister Narendra Modi last month, Trump said he has a “very good relationship” with India.

"But the only problem I have with India is they're one of the highest tariffing nations in the world,” the website quoted Trump as saying.

“I believe they're probably going to be lowering those tariffs substantially, but on April 2, we will be charging them the same tariffs they charge us.”

When asked about the India-Middle East-Europe Economic Corridor (IMEC), a deal signed during Indian Prime Minister Narendra Modi's visit to the US, Donald Trump described it as a "group of wonderful nations" banding together to "counter other countries that look to hurt us on trade." And he didn't mention China specifically. Trump also emphasised the strength of the partnership, saying, "We have a powerful group of partners in trade."

“Again, we can't let those partners treat us badly, however. We do better in many ways, frankly, with our foes than we do with our friends," Trump was quoted as saying by the website.

"The ones that wouldn't be as friendly to us in some cases treat us better than the ones that are supposed to be friendly, like the European Union, which treats us terribly on trade," Trump said.

"India and everybody would think of them as an ally. I can say the same for others. But this is a group of wonderful nations that is countering other countries that look to hurt us on trade," he added.

Trump claimed earlier this month that India has agreed to significantly cut down its tariffs, which he believes are "massive" and restrictive, making it difficult for American businesses to sell their products in India.

However, Indian Commerce Secretary Sunil Barthwal contradicted Trump's statement, telling a parliamentary panel in New Delhi on March 10 that negotiations are still ongoing and no agreement on trade tariffs has been reached between India and the US.

Trump has been criticising the high tariffs charged by India.

Donald Trump addressed a joint session of Congress on March 4, criticising India and other countries for their high tariffs, calling them "very unfair". This isn't the first time Trump has spoken out against India's tariffs, having previously labelled the country a "tariff king" and a "big abuser".

Despite Trump's criticism, India has expressed interest in strengthening trade ties with the US through a bilateral trade agreement.

During Prime Minister Modi's visit to the US last month, both sides announced plans to negotiate a mutually beneficial, multi-sector Bilateral Trade Agreement (BTA).

(inputs from PTI)