Trump attacks India's tariffs regime

US President Donald Trump has attacked India's tariffs regime, saying it is next to impossible to sell anything to India because of the "high tariffs."

In a nationally televised address on Thursday (local time), Trump focused on the tariffs his administration will be putting in effect soon, according to the Indian newspaper Business Standard.

However, Trump also revealed that India has agreed to slash its tariffs significantly, allegedly because "somebody is finally exposing them for what they have done."

Speaking from the White House, Trump stated, "India charges us massive tariffs. Massive. You can't even sell anything in India...They have agreed, by the way; they want to cut their tariffs way down now because somebody is finally exposing them for what they have done."

This development comes as the US prepares to introduce reciprocal tariffs on countries that impose high levies on American goods.

The reciprocal tariffs, set to take effect on April 2, will mark a significant shift in the US trade policy. Trump has emphasised that the US will no longer tolerate being taken advantage of by other nations, particularly those with high-tariff regimes, including India.

Further, he also criticized multiple countries, including Canada and the European Union, for imposing high tariffs on American goods and claimed these nations have taken advantage of the US for years and vowed to introduce reciprocal measures.

Trump has specifically targeted Canada's 250 per cent tariff on American milk products, calling it unfair. He has also vowed to tax other countries the exact amount they tax the US, with no exceptions.

"Canada has been ripping us off for years on tariffs for lumber and for dairy products. Two hundred and fifty percent. Nobody ever talks about that. Two hundred and fifty percent tariff, which is taking advantage of our farmers. So that's not going to happen anymore. We're going to be -- they'll be met with the exact same tariff unless they drop it," Trump said.

Trump also criticized the European Union, alleging that it was formed to take advantage of the US "The EU has been a terrible abuser of this country. I mean, the EU was formulated in order to take advantage of the United States," he said.

Earlier on Tuesday, Trump targeted India's import duties in a speech to a joint session of Congress. Trump specifically targeted India's tariffs on automobile imports, saying, "India charges us auto tariffs higher than 100 per cent."

While addressing a joint session of the US Congress, Trump said that the reciprocal tax would kick in on April 2. He said that nearly every country on earth has ripped off the US for decades and vowed not to "let that happen any longer."

Trump said, " Under the Trump administration, you will pay a tariff and, in some cases, a rather large one. Other countries have used tariffs against us for decades, and now it's our turn to start using them against those other countries. On average, the European Union, China, Brazil, India, Mexico, Canada, and countless other nations charge us tremendously higher tariffs than we charge them. It's very unfair. India charges us auto tariffs higher than 100 per cent."

On the bilateral trade agreement that is expected to be inked by the fall of 2025, the Secretary said the right way to do it is on a macro level.

The US is keen on negotiating a broad-based trade agreement with India, taking into account the entire trade relationship rather than individual products.

During the recent meeting between President Trump and Prime Minister Narendra Modi, the two leaders resolved to expand trade and investment to make their citizens more prosperous, nations stronger, economies more innovative, and supply chains more resilient.

They resolved to deepen the US-India trade relationship to promote growth that ensures fairness, national security and job creation. To this end, the leaders set a bold new goal for bilateral trade - "Mission 500" - aiming to more than double total bilateral trade to $500 billion by 2030.

India's Commerce Minister Piyush Goyal was in the US this week. This follows Trump-Modi's plans to negotiate the first tranche of a mutually beneficial, multi-sector Bilateral Trade Agreement (BTA) by the fall of 2025. The two leaders had committed to designating senior representatives to advance these negotiations.