How did India respond to Trump's 'no tariffs' announcement?
US President Donald Trump announced on Thursday that India had put up a trade deal that proposed "no tariffs" for American goods, while also expressing his dissatisfaction with Apple's plans to invest in India, given America's trade tensions with China.
External Affairs Minister S. Jaishankar was quick to offer a sharp, yet measured response to Trump's claim, calling it “premature” without naming him directly.
This announcement comes ahead of India's attempt to secure a trade deal with the US within the 90-day tariff pause, by sending a trade delegation helmed by Union Minister of Commerce Piyush Goyal, to Washington, as per a Reuters report. The trade negotiations will take place from May 16 onwards, in response to US Vice President J.D. Vance's trip to India last month.
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"It is very hard to sell in India, and they are offering us a deal where basically they are willing to literally charge us no tariffs," Trump said in a meeting with executives in Doha, the capital of Qatar.
India's equity benchmarks jumped to a seven-month high after Trump's comment on the deal with New Delhi, the report said.
"Between India and the US, trade talks have been going on. These are complicated negotiations. Nothing is decided till everything is. Any trade deal has to be mutually beneficial; it has to work for both countries. That would be our expectation from the trade deal. Until that is done, any judgment on it would be premature," Jaishankar told reporters.
Trump in Doha said that he had confronted Apple CEO Tim Cook about shifting production to India, as the American technology company moves to manufacture most of its US-selling iPhones at factories in India by the end of 2026, and is reportedly speeding up those plans to navigate potentially higher tariffs in China.
The United States is currently India's largest trading partner, with bilateral trade in 2024 totalling as much as $129 billion in 2024. The trade balance is currently in favour of India, which runs a $45.7 billion surplus with the US.
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