'Somebody is finally exposing them': Trump attacks India's tariffs regime

US President Donald Trump on Thursday (local time) 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, Trump focused on the tariffs his administration will be putting in effect soon.

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."

The introduction of reciprocal tariffs is expected to have far-reaching implications for global trade. As the US seeks to rebalance its trade relationships, other countries will be forced to reassess their own tariff policies.

Notably, in February, Trump announced 25 per cent tariffs on imports from Canada and Mexico and an additional 10 per cent on goods from China.

Meanwhile, US Commerce Secretary Howard Lutnick on Friday expressed optimism about India-US trade ties, emphasizing the need for India's agricultural trade to open up amid US President Donald Trump's plans to impose reciprocal tariffs on US trading partners, including India.

Speaking virtually at the India Today Conclave, Lutnick acknowledged that finding a mutually beneficial solution would require understanding and cooperation from both sides.

He said India's agricultural trade cannot just remain closed, and suggested that it can be smarter while dealing with the most "important trading partner" US on the other side of the table.

"The Indian market for agriculture, it has to open up," the US Commerce Secretary said at the India Today Conclave. He asserted that the "good thing" about the Indian government is that it "truly understands" its market and "we understand ours".

The Secretary was asked whether some of what America has been pushing for, for example, lowering the import duty on some agricultural products, would be politically suicidal for Prime Minister Modi if he ever went down that route. How does America look at the sensitivity?

"The good thing is your government truly understands your market, and we understand ours. And the key is to try to find that place. So yes, the Indian market for agriculture, it has to open up," he responded.

"It can't just stay closed. Now, how you do that and the scale by which you do that, maybe you do quotas, maybe you do limits. You can be smarter when you have your most important trading partner on the other side of the table," he added.

Lutnick suggested that India could adopt smarter strategies, such as quotas or limits, to open up its agricultural market. He emphasized the importance of putting everything on the table and negotiating thoughtfully to craft a sensible agreement.

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.