Donald Trump, the president of the United States, has stated that India has offered to eliminate all import duties.
At a meeting in Doha, Trump claimed that the Indian government had “offered us a deal where they are generally willing to actually cost us no tariff.”
India and the US are now negotiating a deal contract.
Delhi has not yet made any comments regarding the statement. The Indian Commerce Ministry has reached out to the BBC for remark.
The alleged package has not yet been made open in any further detail.
Trump made the announcement at a meeting with business leaders in Doha that there were a number of agreements between the US and Qatar, including ones involving Boeing jet.
The US president also claimed to have told Apple CEO Tim Cook never to increase production in India, according to Bloomberg.
According to Bloomberg, Trump allegedly said,” I don’t want you building in India,” in reference to a conversation he claimed to have had with Mr. Cook. He added that Apple would “up its creation in the United States” accordingly.
In an earnings phone earlier this month, Apple stated that Vietnam would be a big manufacturing hub for things like iPads and Apple pieces while shifting the majority of its iPhone production from China to India.
In April, President Trump imposed tariffs of up to 27 % on American products. During Trump’s 90-day delay on higher taxes, which ends on July 9th, Delhi is rushing to reach a trade agreement.
Up until recently, the US was India’s largest trading partner, with bilateral trade worth$ 190 billion ( £143 billion ).
Although Delhi has already lowered taxes on motorcycles, liquor, and other US products, Trump wants to reduce the country’s$ 45 billion trade deficit with India.
India may offer to make 90 % of US imports tariff-free from day one, using a “zero-for-zero” approach-cutting taxes on all goods, aside from autos and crops, as Trump has always attributed the high tariffs to India for the trade deficit. However, the agreement must ensure rigid cooperation, with both parties removing tariffs equally, according to Ajay Srivastava, a Delhi-based industry expert.
Trump and Modi have set a goal of more than double business of$ 500 billion, but Delhi is unlikely to make concessions in areas like crops, where there are more social differences at play.
After centuries of skepticism, India has recently shown more willingness to negotiate trade talks.
A trade pact signed by the UK and Ireland last week saw significant reductions in taxes in some protected industries like cars and whisky.
After nearly 16 years of negotiations, India and the European Free Trade Association ( EFTA ), a group of four non-European countries, finally reached a$ 100 billion free trade agreement last year.
The EU and India are even making a push to finalize a free trade agreement this year.
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