United States

US Says India Imposed 150% Tariff On Alcohol, 100% On Agricultural Products As Tariff Negotiation Continues

This comes a day after Commerce Secretary Sunil Barthwal told a Parliamentary panel on Monday that India has not committed to anything on trade tariffs to the US and the negotiations are still on.

India - US tariff row
India - US tariff row
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The United States has reiterated 'high tariff' concern against India, this time revealing that India charges 150% tariff on American alcohol and 100% tariff on agricultural products from India. White House Press Secretary Karoline Leavitt during a press briefing, took up this topic in defense of the US President Donald Trump and his reciprocal tariff policy.

This comes a day after Commerce Secretary Sunil Barthwal told a Parliamentary panel on Monday that India has not committed to anything on trade tariffs to the US and the negotiations are still on.

The Commerce Secretary briefed the Parliamentary Committee on External Affairs on US President Donald Trump's recent claims that India has agreed to reduce its tariffs "way down".

What Did White House Press Secretary Say?

White House Press Secretary Karoline Leavitt held up a chart duing her briefing that showed tariffs charged by India, Canada and Japan. On the chart, two circles with the colors of the tri-colour highlighted the tariffs that India imposes.   

“Canada has been ripping off the United States of America and hard-working Americans for decades. If you look at the rates of tariffs across the board that Canadians have been imposing on the American people and our workers here, it is egregious. In fact, I have a handy dandy chart here that shows not just Canada, but the rate of tariffs across the board. If you look at Canada…American cheese and butter, nearly 300% tariff," she said.

“You look at India, 150% tariff on American alcohol. You think that's helping Kentucky bourbon be exported into India? I don't think so. 100% tariff on agricultural products from India. Look at Japan, tariffing rice 700%,” Leavitt said.

“President (Donald) Trump believes in reciprocity, and it is about dang time that we have a president who actually looks out for the interests of American businesses and workers, and all he's asking for at the end of the day are fair and balanced trade practices, and unfortunately, Canada has not been treating us very fairly at all over the past several decades,” she said.  

President Trump for the past few days has been criticising the high tariffs charged by India.

Trump on Friday said India has agreed to cut its tariffs “way down” as he repeated his assertion that the country charges America massive tariffs.

India On Tariff Row

According to PTI, Commerce Secretary Sunil Barthwal told a Parliamentary panel on Monday that negotiations are still on and no agreement on trade tariffs has been reached so far between India and the US.

The Commerce Secretary briefed the Parliamentary Committee on External Affairs on US President Donald Trump's recent claims that India has agreed to reduce its tariffs "way down", while Foreign Secretary Vikram Misri briefed the committee on China and Europe.

With several members raising concerns over Trump's claim of India having agreed to reduce tariffs, the Commerce Secretary told them that one cannot go by US President's claims and on media reports as the bilateral trade agreement talks between the two nations are still on.

India has not committed to anything on trade tariffs to the US, he told the panel.

Sources said several members posed questions to him on US-India trade talks and he reportedly addressed their fears saying that the interests of India would be taken care of during the trade negotiations.

Sources add that Barthwal said India was in favour of free trade and wanted liberalisation of trade, which will help increase trade between the two countries.

He told the members that tariff war does not help anyone, including the US, and can lead to a recession, the sources said.

On some members saying why India was not raising its voice against tariffs, as done by Canada and Mexico, he said the two were not comparable as the US had security concerns and border immigration issues with them.

Sources added that India will sign a "mutually beneficial agreement".

He also told the panel that India will protect such industry which is crucial to its domestic economy, saying developing countries cannot lower their tariffs on everything.

India can reduce tariffs mutually bilaterally but not multilaterally and that is why a bilateral trade agreement was being worked out, he said.

Foreign Secretary Vikram Misri reportedly informed the panel about India's ties with China and Europe.

According to sources, he said the construction of a dam on the river Brahmaputra in south-eastern China was an issue of concern for India, as China has earmarked funds for its development in its plans outlay.

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