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Trump announces reciprocal tariffs against India in Congress address

During the State of the Union address, Donald Trump said that India imposes a 100 percent tariff on autos and described the system as unfair.

File photo of Indian Prime Minister Modi and US President Donald Trump at the White House. / Reuters

US President Donald Trump has vowed to impose reciprocal tariffs against several countries, including India, as part of his strategy to make “America Rich Again”. Trump particularly slammed India’s 100 percent tariff on autos and described the system as unfair.

Addressing the joint session of Congress on Mar. 4, Trump asserted that nations will face tariffs if they do not manufacture their products within the United States and underscored his "America First" agenda.

“India charges us 100 per cent tariffs; the system is not fair to the US, it never was,” Trump said, continuing, “On April 2, reciprocal tariffs kick in. Whatever they tax us, we will tax them. If they use non-monetary tariffs to keep us out of their market, then we will use non-monetary barriers to keep them out of our market.”

He highlighted, "Other countries have used tariffs against us for decades, and now it is our turn to start using them against those other countries. On average, the European Union, China, Brazil, India, and countless other nations charge us tremendously higher tariffs than we charge them."

Also read: Indian American Democrats slam Trump’s Congress address

This announcement comes weeks after Indian Prime Minister Narendra Modi visited Washington, where both leaders held extensive talks on trade and economic relations. 

The meeting at the White House on Feb. 13 had underscored the growing partnership between the two countries, with both Modi and Trump discussing ways to strengthen trade ties. However, Trump’s recent remarks on tariffs suggest a shift towards more protectionist policies, signaling his commitment to domestic manufacturing and job creation in the U.S.

During their discussions, Modi and Trump recognized the importance of trade cooperation but also acknowledged the potential impact of tariffs on global supply chains. Modi, with his pro-business outlook, highlighted India's growing role in the global economy, while Trump emphasized that reciprocal tariffs would help American workers by encouraging more domestic production.

On Feb.13, Trump had said, “We'll begin negotiations to address the long-running disparities that should have been taken care of over the last four years.” He also reiterated his administration’s plans to impose reciprocal tariffs on imports from various countries, including India.

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