The tariff war started by Donald Trump is only going to heat up even further as the April 2 deadline is closer than ever. The Trump administration had previously said that it would levy reciprocal tariffs on goods imported to the US.
Will Be Charging Tariff
When it comes to India, discussions have been going on behind close doors. Some developments have emerged in the matter.
Now, while speaking in an interview, Trump said that he is expecting PM Modi-led India to slash taxes to avoid the axe of reciprocal taxes on itself.
Furthermore, according to reports, apart from not making any immediate commitment, India has also asked the US time until September 25 to arrive at a decision. | AFP
He said "I believe they're going to be lowering those tariffs substantially, but on April 2, we will be charging them the same tariffs they charge us."
Previously, it was reported that the Indian government had no committed to any tariffs yet.
In fact, Speaking before the Parliamentary Standing Committee on External Affairs, India’s Commerce Secretary Sunil Barthwal clarified that negotiations with the US are still underway and that India has requested time to address Washington’s concerns.
Furthermore, according to reports, apart from not making any immediate commitment, India has also asked the US time until September 25 to arrive at a decision.
The Tariff War
The tariff war, and in India's case a reciprocal tariff regime could further kickstart uncertainty in the Indian markets. The markets have been recovering from their previous lull, which saw the secondary market struggle.
At the same time, Chinese markets saw a resurgence in their prospects, as investors moved to stable markets.
At the beginning of the month, after a month long delay on tariff on Canada and Mexico pulled the tariff trigger, only to hold back, for yet another month.
April 2 would therefore be crucial date, as the future of this policy would be decided then.
