Trump hinted that India’s trade deal reached “much less” tariffs ahead of the key to the July 9 deadline

Key Highlights

• Donald Trump explained that the United States has almost negotiated a trade agreement with India, and its tariffs have been greatly reduced.
• The report is the deadline for the resumption of the suspension of bilateral tariffs by the July 9 deadline.

Key facts

• A 90-day tariff truce will expire on July 9 and may cause US tariffs of 26% on Indian products.
• Key negotiations focus on agricultural products, dairy products, energy and automotive parts.

Key background

Former U.S. President Donald Trump said the United States is about to sign a large-scale trade agreement with India. Trump said in resolving the rally movement that the deal would offer “less tariffs” and could potentially change the current terms of U.S.-India business. The urgency comes from the July 9 deadline, when 90-day tariff relief expired. Without an extension, the U.S. will impose a 26% retaliatory tariff on India’s most important exports.

In recent days, negotiations have remained in Washington with senior Indian officials, including Foreign Minister S. Jaishankar and Chief Negotiator Rajesh Agrawal. The goal is hammering the core differences in agriculture and dairy sensitive areas. Due to domestic political and economic coercion, India is often reluctant to open up the dairy industry in terms of trade agreements, especially protecting small farmers.

On the U.S. side, negotiators are trying to make India lower its tariffs on U.S. products such as apples, almonds, genetically modified food, steel and automotive components. In return, India is seeking better clothing, footwear, seafood and fresh fruits such as bananas and grapes to enter the U.S. market. India is also trying to import it from the United States as a good-willed import of natural gas from the economy and make up for its $41 billion trade deficit.

The two countries are trying a step-by-step process: a temporary agreement before July 9, and a detailed agreement in the fall. The strategy is designed to help them achieve their overall goal of $500 billion in two-way transactions by 2030. However, if the breakthrough is not completed as planned, re-emphasizing the fine tariffs can promote progress for the Scots and restore the ghost of trade tensions between the two countries.