Amid continued trade talks with Washington, India has reportedly proposed to charge zero tariffs on steel, auto components and pharmaceuticals from the US on a reciprocal basis.
According to a report by Bloomberg quoting people familiar with the development, the reciprocal tariffs have been offered up to a certain quantity of imports from the US. Beyond the set limit, imported industrial goods would attract the regular level of duties, the sources said.
The offer was reportedly made by trade officials from the Indian side who visited Washington in late April to expedite negotiations on a bilateral trade deal.
A deal is expected to be closed by autumn this year, the report quoted the sources as saying.
Donald Trump on April 2 had imposed sweeping new tariffs on almost all nations around the world. Under the new tariff announcements, India faces a 26 per cent duty on its exports to the US.
However, on April 9, Donald Trump went in for a pause on the reciprocal tariffs, in order to expedite trade talks with nation.
The report of the proposed offer comes as part of India's moves to ink a bilateral trade deal with Washington.
JD Vance drops hint on India-US trade deal
India may be one of the first countries that could strike a trade deal with the US after Donald Trump made the tariff announcement, Vice President JD Vance said last week.
In an interview with Fox News on Thursday, Vance said “good negotiations” were now on with India on tariffs.
“I don't know if it'll (India) be your first deal, I think it would be among the first deals for sure. Pretty soon the President look, we've got negotiations with Japan, with Korea, we've got negotiations going on with some folks in Europe, and obviously we've got a good negotiation going on in India,” Vance said.
