US buyers want Indian exporters to share tariff cost as shipments resume: Report

US President Donald Trump, last week, had announced a 90-day break from tariffs for all the countries except on China, which will continue to have duty of 145 percent.

Despite a 90-day tariff pause, the Indian exporters are still dealing with duty-induced pain.

US-based customers are asking Indian manufacturers to bear at least one-third to half the cost of the baseline tariff imposed on all the countries except China, a report by Business Standard said on April 15. This development comes after exporters reported resumption of trade for the existing orders, although the fate of new orders remain in doubt, the newspaper said.

US President Donald Trump, last week, had announced a 90-day break from tariffs for all the countries except on China, which will continue to have duty of 145 percent.

However, all the countries will still have to face a baseline tariff of 10 percent apart from specific levies such as on steel and auto sector.

Dileep Baid, the chairman of the Export Promotion Council for Handicrafts, said most of the buyers in the US are seeking to split the tariff cost equally with the sellers, BS reported.

It was earlier reported that India will start sector-specific trade discussions with the US on April 14, according to a New Delhi official, with the South Asian nation looking to nail down key details within six weeks.

Virtual talks will begin this week, a senior official aware of the developments told Bloomberg News. By end of May, both sides aim to have clarity on the sectors where they have room for concessions, the official added, asking not to be identified in line with protocol. The development was first reported by local Indian media on Monday.

However, The Economic Times reported that a zero-for-zero tariff policy between the two countries is unlikely.