Reciprocal tariffs against India from April 2: Trump in US Congress address

US President Donald Trump defends tariffs, says India imposes over 100 per cent auto tariff, calls trade policies of EU, China, Brazil, Mexico, and Canada 'unfair'

During his first address of his second term to a joint session of Congress, US President Donald Trump defended his strict tariff policies, emphasising that the country has long faced high tariffs from several nations, including India. He said that his administration will implement reciprocal tariffs on multiple nations beginning April 2.

 

Trump said there are countries that impose significant tariffs on the US, including India. “On average, the European Union, China, Brazil, India, Mexico and Canada … have you heard of them? And countless other nations charge us tremendously high tariffs than we charge them,” he said.    “It’s very unfair,” he added.  

 

 

#WATCH | While addressing a joint session of US Congress, US President Donald Trump says, " Other countries have used tariffs against us for decades and now it is our turn to start using them against those other countries. On average, the European Union, China, Brazil,… pic.twitter.com/7lRu4udKEN

— ANI (@ANI) March 5, 2025

  Pointing specifically to India, Trump said, “India charges us auto tariffs higher than 100 per cent.”

 

He further added, “If you don’t make your product in America 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." 

Reciprocal tariffs from April 2

 

Trump declared that the US would implement reciprocal tariffs on multiple nations beginning April 2, deliberately avoiding April 1 to prevent any association with 'April Fools’ Day'.  

 

"On April 2, I wanted to make it April 1 but didn't want it to be accused of April Fools’ Day... it's a lot of money. April 2, reciprocal tariffs kick in, whatever they tariff us, we will tariff them, a reciprocal back and forth... if they do non-monetary tariffs to keep us out of their market, we will do non-monetary barriers to keep them out of our market," Trump said during his speech.     

  Trump said this move would enable the US to generate "trillions" of dollars while boosting employment. “We will take in trillions and trillions of dollars and create jobs like we have never seen before. I did it with China and I did it with others, and the Biden administration couldn't do anything about it,” he said during his address to the US Congress. 

What are reciprocal tariffs?  

 

Reciprocal tariffs refer to duties imposed by one country on another to match the tariff rates set by the latter. These tariffs are applied to imported goods from the respective country as a countermeasure.  

 

If the US enforces reciprocal tariffs on India, the cost of Indian-made goods in the US market will rise due to higher import duties. This could make Indian exports less competitive and reduce their attractiveness to US buyers.