Why in news
U.S. President Donald Trump said he informed Indian PM Modi that India would face reciprocal tariffs, meaning whatever tariffs India charges, the U.S. will charge back.
Trump’s announcement about reciprocal tariffs targets non-reciprocal trade agreements, where he plans to impose equal tariffs on trading partners, including India.
Trump emphasized that his tariff structure is non-negotiable, saying "Nobody can argue with me," and reiterated his stance to Modi.
India’s Tariffs on U.S. Imports: India imposes high tariffs on certain U.S. goods, particularly in the automobile sector.
Trump mentioned Elon Musk's challenges in selling cars in India due to high import tariffs (up to 100%).
Trump suggested that if Tesla built a factory in India, it would be "unfair" to the U.S. as it would lead to jobs and production in India instead of the U.S.
COMMENTS