India Considers Cutting Tariffs on Cars, Chemicals to Counter Trump Duties

Indian authorities are debating sharp cuts to tariffs on everything from cars, chemicals, and electronics to soften the blow from possible retaliatory duties threatened by US President Donald Trump. The suggested cuts are to conclude a trade agreement with the US by autumn, aiming for a $500 billion trade target by 20301. Budget announcements made in the recent past have already reduced luxury car, motorcycle, and other product tariffs. The decision marks India's bid to leave its "tariff king" image behind and portray itself as an open, competitive economy. This is against the backdrop of Trump having made fresh threats of imposing 25% tariffs on steel and aluminum imports.

 

Source: Bloomberg News