US President Donald Trump on Tuesday claimed that India has agreed to drop tariffs on American imports to “nothing”, asserting that the decision was made solely because of him.“In India, as an example, is one of the highest tariffs in the world. We’re not going to put up with that and they’ve agreed already to drop it,” Trump told reporters at the White House during a media interaction alongside Canadian Prime Minister Mark Carney.“They’ll drop it to nothing. They’ve already agreed. They wouldn’t have done this for anybody else but me.”Trump, however, offered no details on the sectors or goods affected by the supposed agreement. India has, however, not officially made any statements in this regard as trade talks with the US remain underway.
A conditional proposal
Sources familiar with the ongoing negotiations told Bloomberg that India has proposed a zero-for-zero tariff arrangement on specific goods such as steel, auto parts, and pharmaceuticals, but with a cap on import volumes and based on mutual reciprocity. If imports exceed agreed thresholds, standard duties would be reinstated.The proposal was reportedly presented during a high-level visit to Washington last month, as both sides aim to fast-track a limited trade agreement before Trump’s self-imposed 90-day suspension on new reciprocal tariffs expires.
Quality concerns and regulatory barriers
The US has also raised concerns about India’s Quality Control Orders (QCOs), which mandate technical standards for products sold in the country. American officials argue these regulations have hindered US exports and lack transparency.Indian authorities have signaled openness to reviewing QCOs in sectors such as medical devices and chemicals. They have also proposed a mutual recognition agreement to streamline regulatory compliance for both countries, though the inclusion of such provisions in a final deal remains uncertain.
