India Pushes Ahead with U.S. Trade Talks Despite 50% Tariff Hike
India aims to continue trade negotiations with the United States despite Washington raising tariffs on Indian exports to 50% over New Delhi’s purchases of sanctioned Russian oil, two lawmakers said Monday. The statement followed a briefing to a parliamentary panel on foreign affairs.
U.S. Tariff Increase Targets Indian Exports
Last week, President Donald Trump imposed an additional 25% tariff on Indian goods, on top of the existing levy, raising the total duty to 50% — one of the highest rates applied to any American trading partner.
“Our relations with the U.S. are multi-dimensional and should not be seen only through the prism of trade,” one lawmaker said, citing remarks from the foreign secretary during the briefing.
Trade Talks Still on Schedule
Shashi Tharoor, opposition Congress party leader and head of the panel, confirmed that trade talks would proceed as planned.
“As of now, there is no change in the existing plans for the sixth round,” Tharoor said, referring to a U.S. trade delegation’s visit to New Delhi from August 25.
Earlier, junior finance minister Pankaj Chaudhary told lawmakers that about 55% of India’s merchandise exports to the U.S. would be covered by the new tariff. This figure factored in the original 25% duty, he said in a written response.
“The Department of Commerce is engaged with all stakeholders to assess the situation,” Chaudhary added.
U.S.-India Trade Worth $87 Billion
Goods trade between the United States — the world’s largest economy — and India, the fifth-largest, was valued at approximately $87 billion in the last fiscal year, according to Indian government data.
Concerns Over Pakistani Military Comments
The panel also expressed concerns about reported remarks by Pakistani army chief Field Marshal Asim Munir regarding nuclear threats in South Asia during a recent U.S. visit.
“Nuclear blackmail will not work with India, and no party or representative disagrees with this view,” Tharoor said, noting that the external affairs ministry had condemned the comments.
