In response to the US tariff, the government has said that it will take all necessary steps to secure the country’s national interest.
New Delhi: In a significant development after US President Donald Trump imposed a massive 25 per cent tariffs on Indian goods, the government of India has issued the first reaction and said that it is studying the implications of US’s announcement to impose 25 per cent tariffs on Indian goods, along with a penalty from August 1. The government also informed that it is still hopeful of concluding a fair, balanced and mutually beneficial bilateral trade agreement.
How has government reacted to 25 per cent tariffs announcement?
The government, an official statement said, will take all necessary steps to secure the country’s national interest, as has been the case with other trade agreements, including the latest with the UK.
“The Government has taken note of a statement by the US President on bilateral trade. The Government is studying its implications,” the statement said. It added that India and the US have been engaged in negotiations on concluding a fair, balanced and mutually beneficial bilateral trade agreement over the last few months.
“We remain committed to that objective,” the statement said.
Notably, US President Trump announced the imposition of a 25 per cent tariff on all goods coming from India, plus an unspecified penalty for buying military equipment and crude oil from Russia.
‘Will take all steps necessary’, says government
“The government attaches the utmost importance to protecting and promoting the welfare of 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 two countries are negotiating a bilateral trade agreement (BTA) from March with an aim to more than double the bilateral trade in goods and services to USD 500 billion by 2030 from the current USD 191 billion. So far five rounds of talks have been completed.
(With inputs from agencies)