"US May Push India for Near Zero Tariffs on Most Goods, Report Says, Aiming to Boost Trade and Market Access"
U.S. May Request India to Eliminate Tariffs on Most Goods: Report
The United States is considering asking India to eliminate tariffs on nearly all goods as part of trade negotiations, according to a recent report. This potential request could be a significant step toward deepening economic ties between the two nations, aligning with Washington’s broader strategy of strengthening supply chains and reducing reliance on China.
India has historically maintained high tariffs on several imported goods to protect domestic industries, particularly in sectors like agriculture, electronics, and automobiles. A zero-tariff demand from the U.S. could face resistance from Indian policymakers who prioritize local manufacturing and job creation. However, it may also open opportunities for Indian exports to the U.S., boosting bilateral trade.
The request, if formalized, would likely be part of broader trade discussions, potentially linked to the Indo-Pacific Economic Framework (IPEF) or a future free trade agreement. Given India’s growing economic influence and strategic partnership with the U.S., negotiations will be crucial in determining a mutually beneficial path forward. While increased market access could benefit businesses in both countries, the challenge will be balancing trade liberalization with domestic industry protection.
