US reluctant to cut tariffs for India below Asian peers under trade deal

India is aiming for a 15 per cent tariff under a trade deal with Washington that will make its labour intensive shipments to the US cheaper compared to its Asian peers

The United States (US) is reluctant to grant India a tariff advantage by lowering the current 25 per cent “reciprocal tariff” under a proposed trade deal to below the levels applied to regional competitors such as Pakistan (19 per cent), Bangladesh (20 per cent) and Indonesia (19 per cent), given India’s current market liberalisation offer. 

“We are dealing with each country on its own terms. What we are willing to do is definitely going to depend on what the Indian government wants to do. Can India provide zero tariff on all American products? Do you realistically think that’s going to