Donald Trump signals tariff cuts in India trade talks, says ‘they will love us again’

PM Modi with US President Donald Trump

Amid ongoing negotiations over a potential India–US trade agreement, President Donald Trump said on Tuesday that Washington plans to “bring down the tariffs” imposed on New Delhi.

Responding to a question about the progress of the trade deal and the possibility of lowering tariff rates, Trump remarked, “Well, right now, the tariffs are very high on India because of the Russian oil, and they've stopped doing the Russian oil. It's been reduced very substantially. Yeah, we're going to be bringing the tariffs down... At some point, we're going to be bringing them down.”

The president added that discussions with India were progressing well, saying, “We’re making a deal with India. Much different than we had. Right now they don’t love me but they will love us again. We’re getting a fair deal. They’re very good negotiators, so Sergio, you will have to take a look at that. I think we’re pretty close to doing a deal that is good for everybody.”

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Later, speaking to reporters, Trump reiterated his intention to reduce tariffs on Indian imports. “Well, right now, the tariffs are very high on India because of the Russian oil, and they’ve stopped doing the Russian oil. It’s been reduced very substantially. Yeah, we’re going to be bringing the tariffs down. At some point, we’re going to be bringing them down,” he said.

Highlighting India’s significance, Trump noted, “India is home to one of the world’s oldest civilisations, the largest country in the world, and it has over 1.5 billion people. We have a fantastic relationship with Prime Minister Modi, and Sergio has already enhanced that because he’s become friendly with the Prime Minister.”

Earlier this year, Trump had imposed additional tariffs on Indian exports to the United States, raising rates on several goods to as high as 50%, in part to pressure New Delhi to curb its purchases of Russian oil.

In recent weeks, however, he has suggested that Prime Minister Modi has taken steps to reduce those imports, expressing optimism about the ongoing trade talks. “They’ve stopped doing the Russian oil – it’s been reduced very substantially,” Trump said on Monday.