Soon after US President Donald Trump announced a 25 per cent tariff on India, plus a ‘penalty’, the central government on Wednesday said that it is studying the implications of the move and will take all steps to “secure our national interest”.
In a statement, the Ministry of Commerce and Industry said it has taken note of the announcement and stressed that India remains committed to negotiating a fair bilateral trade agreement with the United States.
It also noted that negotiations on the trade deal have been going on for the last few months.
The Ministry said, “We remain committed to that objective. The government attaches the utmost importance to protecting and promoting the welfare of our farmers, entrepreneurs, and MSMEs.”
“The Government will take all steps necessary to secure our national interest, as has been the case with other trade agreements including the latest Comprehensive Economic and Trade Agreement with the UK,” it added.
The government’s remarks came after the US President on Wednesday announced a 25 per cent tariff on India effective August 1, plus a penalty.
Trump said: “Remember, while India is our friend, we have, over the years, done relatively little business with them because their tariffs are far too high, among the highest in the world, and they have the most strenuous and obnoxious non-monetary trade barriers of any country.
“Also, they have always bought a vast majority of their military equipment from Russia, and are Russia’s largest buyer of energy, along with China, at a time when everyone wants Russia to stop the killing in Ukraine all things not good! India will therefore be paying a tariff of 25 per cent, plus a penalty for the above, starting on August 1,” Trump added.
