US India Trade Deal Remains On After Supreme Court Tariff Ruling, Says Donald Trump
Trump Says Relationship With India Is Fantastic
US President Donald Trump has said there is no change in the trade deal with India following the US Supreme Court’s decision on tariffs. Speaking at a news conference at the White House last night, Trump said the India deal is on and emphasised that his relationship with India is fantastic.The remarks came hours after the US Supreme Court struck down his sweeping tariffs. Trump said the United States is doing trade with India and indicated that the trade arrangement between the two countries remains in place.
Tariff On India To Be Reduced Under Trade Deal
Earlier this month, Trump issued an Executive Order removing the 25 per cent punitive tariffs imposed on India. Under the trade deal, Washington will charge a reduced tariff on New Delhi, lowering it from 25 per cent to 18 per cent.Meanwhile, a White House official clarified that the tariff on India will temporarily drop to 10 per cent following President Trump’s announcement of a new global tariff.
New 10 Per Cent Global Tariff To Replace Earlier Duties
The White House said the new tariff will replace the earlier International Emergency Economic Powers Act based duties that were struck down by the Supreme Court.The clarification indicates that the newly announced 10 per cent global tariff under Section 122 is not in addition to previously imposed IEEPA tariffs on India. Instead, it replaces them for now.
The White House response confirms that, at least temporarily, the applicable tariff rate for India would fall to 10 per cent under the new Section 122 authority.
India And US Working To Finalize Trade Agreement
Back home, the External Affairs Ministry said India and the United States are working to finalize a mutually beneficial trade agreement as per the Joint Statement adopted recently.Addressing the media in New Delhi, Ministry spokesperson Randhir Jaiswal said a delegation from India, led by the chief negotiator, will visit the United States next week.
US India Trade Deal Update
The current tariff adjustment reflects the legal constraints imposed by the US court and the administration’s stated intent to continue pursuing tariff measures through alternative statutory mechanisms. At the same time, both India and the United States are continuing negotiations to finalize the trade agreement.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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