The US president described India as a “good friend” but criticised its high tariffs, saying, “India has charged basically more tariffs than almost any other country. But now I’m in charge, and you just can’t do that
By Afolabi Ayodele
India could face tariffs as high as 25% if it fails to conclude a trade agreement with the United States by the 1 August deadline, President Donald Trump has warned.
“Yeah, I think so,” Trump told reporters on Tuesday when asked whether Delhi would face higher tariffs in the absence of an agreement.
The US president described India as a “good friend” but criticised its high tariffs, saying, “India has charged basically more tariffs than almost any other country. But now I’m in charge, and you just can’t do that.”
Indian and American officials have been negotiating a trade pact for months, with discussions alternating between optimism and caution.
Agriculture and dairy remain key sticking points, with Washington seeking greater access to India’s farm sector, which Delhi has fiercely protected on the grounds of food security and the livelihoods of millions of small farmers.
US Trade Representative Jamieson Greer said earlier this week, “We continue to speak with our Indian counterparts. We’ve always had very constructive discussions with them.” He noted that while progress had been made, India’s long-standing protectionist policies made negotiations challenging.
Indian Commerce Minister Piyush Goyal said last week that agriculture remains a sensitive area for the country but insisted that farmers’ interests would be “well protected.” He added that India was making “fantastic progress” in the talks and remained “optimistic” about striking a deal soon.
Trump, who previously imposed tariffs of up to 27% on Indian goods in April before pausing them, is pushing for agreements that substantially open foreign markets to the US. He has repeatedly branded India a “tariff king” and a “big abuser” of trade relations.
Until recently, the US was India’s largest trading partner, with bilateral trade hitting $190bn in 2024.
Trump and Prime Minister Narendra Modi have set a target of more than doubling this figure to $500bn.
Despite India reducing tariffs on some products, including Bourbon whiskey and motorcycles, the US continues to run a $45bn trade deficit with the country, which Trump is keen to narrow.
The BBC has reached out to India’s commerce ministry for comments on the president’s remarks.
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