May 17, 2025
2 mins read

Trump says India offered zero tariffs

Trump cited India as a prime example of trade barriers he wants removed. But India stated that negotiations remain complex and far from complete.

US President Donald Trump has claimed that India is willing to eliminate all tariffs on American goods, signalling a potential breakthrough in bilateral trade talks. However, India’s External Affairs Minister S. Jaishankar has countered the assertion, stating that negotiations remain complex and far from complete.

Speaking to Fox News on Friday, Trump cited India as a prime example of trade barriers he wants removed. “They make it almost impossible to do business,” he said. “Do you know they’re willing to cut 100 per cent of their tariffs for the United States?”

Despite the strong statement, Trump added he was “in no rush” to finalise any trade deal, indicating that Washington may take its time. “That’ll come soon. I’m in no rush. Look, everybody wants to make a deal with us,” he said.

The claim marks one of the most direct statements from Trump about a possible zero-tariff arrangement with India, yet officials in New Delhi offered a more cautious tone. Speaking to reporters on Thursday, Jaishankar emphasised that trade negotiations with the US were ongoing and “complicated.”

“Nothing is decided till everything is. Any trade deal has to be mutually beneficial; it has to work for both countries,” the minister said. “Until that is done, any judgment on it would be premature.”

Trump’s remarks come at a time when the US is re-evaluating its global trade relationships and considering new import duty rates on trading partners over the next few weeks. The White House is reportedly working toward a broader restructuring of international trade terms before the temporary suspension of elevated tariffs expires in July.

Interestingly, Trump also raised the possibility of expanded trade ties with Pakistan, India’s geopolitical rival, hinting that economic incentives could be used as diplomatic tools to ease tensions in South Asia.

“I’m using trade to settle scores and make peace,” Trump said, referencing earlier US efforts to defuse tensions between India and Pakistan following the Pahalgam terror attack.

Meanwhile, Trump said the US had recently reduced tariffs on Chinese goods from 145 per cent to 30 per cent, while China responded by cutting its own duties from 125 per cent to 10 per cent. “If I didn’t do that deal with China, I think China would have broken apart,” he added.

While Trump’s declarations highlight his aggressive push to reset global trade dynamics, India’s official line suggests a more cautious, negotiated approach that ensures reciprocal benefits and long-term strategic alignment.

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