Business News: Donald Trump Criticizes India’s High Tariffs, Advocates Reciprocal Trade Policy

Business News: Donald Trump recently criticized India’s high tariffs, highlighting a reciprocal trade approach. He added that if India puts or raises taxes on US exports, the US will reciprocate in kind. This method seeks to achieve parity in trading practices between the two countries. Trump singled out specific imports, such as motorcycles and consumer goods, which India charges up to 100%. For example, if a $100 bicycle incurs a $100 tax in India, the United States will respond with equivalent measures.

Impact on US-India Trades?

The possible effects of these tariffs are significant. Increased tariffs may raise consumer prices, causing inflation and an economic burden on the general people. Automobiles, agriculture, pharmaceuticals, and information technology sectors may see interruptions, hurting manufacturers, exporters, and trade volumes in both countries. Furthermore, extended tariff disputes, as seen between the United States and China, could evolve into a trade war, producing economic uncertainty and harming long-term diplomatic relationships.