New Delhi, Aug 7 Congress MP Shashi Tharoor on Thursday strongly advocated for a reciprocal tariff regime in response to US President Donald Trump’s recent threat of imposing steep import duties on Indian goods, suggesting that New Delhi should consider a 50 per cent tariff on American imports if diplomatic negotiations with Washington fail to yield results.
Trump was singling out India, even though countries like China and Turkey continue to import oil from Russia.
India officially described the move as “extremely unfortunate”, saying it was being penalised for actions that “several other countries are also taking in their own national interest.”
Addressing reporters, Tharoor said, “It will definitely have an impact because we have a $90 billion trade with them, and if everything becomes 50 per cent more expensive, buyers will also think, why should they buy Indian products? Other countries like Vietnam, Indonesia, Pakistan, Bangladesh, and China — if they are less expensive than us — then naturally, India’s products will not sell in the American market.”
He criticised the additional 25 per cent tariff announced by Trump, calling it “unfair” and linked to India’s continued oil and gas trade with Russia.
“But China is buying almost double of what we are buying from Russia, and they have been given 90 days, while we’ve been given only 3 weeks. This suggests there is some other message coming from Washington that our government needs to recognise and respond to,” he said.
Insisting on reciprocal treatment, Tharoor said, “If they do this, we should also impose a 50 per cent tariff on American exports. No one from another country can sit there and threaten us. This is completely unacceptable. I believe every Indian would agree that we stand united on this issue.”
The Congress MP also mentioned that India only charges 17 per cent tariff on most US imports, and it is the American President who is fighting the 17 per cent tariff amount with a steep 50 per cent.
“Reciprocal is their (US’) own word. They are saying it’s reciprocal. We’re not imposing tariffs on them. Trump is complaining, but our average tariff on American goods is only 17 per cent. If they are imposing 50 per cent in return, then why should we stick to 17 per cent? We too can raise it to 50 per cent,” he said.
However, Tharoor stressed that he does not favour unnecessary conflict.
“India and the US have enjoyed a strong relationship. We’ve spoken of a strategic partnership. We are part of the Quad. We’re collaborating on AI, Defence, and several other fronts. I don’t want to see this relationship damaged over trade alone. But this provocation has come from them. If the US doesn’t value our relationship, then we shouldn’t overvalue theirs either,” he added.
(Auto generated news from IANS Feed. This has not been edited by enewstime desk)
