Not 7 but 32% tariff reduced, talk made on 50 straight 18; There was confusion due to Trump's statement, White House clarified
New Delhi. India and America trade deal (India US Trade Deal) has been locked. On Monday, Trump gave this information on his social media platform Truth. He also said that we are reducing the tariff imposed on India from 25 percent to 18 percent.
After this news, a confusion arose that the total tariff on India was 50 percent, of which 25 percent was reciprocal and 25 percent was in the form of penalty for buying oil from Russia.
The White House has cleared the confusion arising regarding this issue. Till now it seemed that only the reciprocal tariff on India i.e. 7 percent out of 25 percent has been reduced.
White House says 25% penalty on Russian oil purchases abolished
But according to the latest statement of the White House, America reduced the total 50 percent tariff imposed on India to 18 percent. That is, the 25 percent tariff which was there as a penalty on buying Russian oil was also abolished and at the same time the 25 percent reciprocal tariff was reduced to 18% (US Tariff on India).
The US is eliminating a 25% penalty duty imposed on all imports from India for buying oil from Russia, on top of the already imposed 25% "reciprocal" tariff rate, a White House official told Reuters.
US Ambassador to India Sergio Gore has confirmed that the total tariff rate on Indian exports will be reduced to 18% from the 50% rate applicable till date.
What did Trump say?
Trump wrote on his Truth Social: "I had the pleasure of speaking with Prime Minister Modi of India this morning. He is one of my best friends, and a powerful and respected leader of his country. We discussed many things, including trade, and ending the war between Russia and Ukraine. He agreed to stop buying Russian oil and to buy much more oil from the United States and, perhaps, Venezuela."
He further wrote – This will help end the ongoing war in Ukraine, in which thousands of people are dying every week! Out of friendship and respect for Prime Minister Modi, and at his request, effective immediately, we agreed to a trade deal between the United States and India under which the United States will impose lower reciprocal tariffs, reducing them from 25% to 18%.
Trump further wrote in his post that similarly, he will also reduce his tariff and non-tariff barriers against the United States to zero. The Prime Minister also promised to "Buy American" on a very large scale, including more than $500 billion worth of American energy, technology, agriculture, coal and many other products. Our excellent relations with India will become even stronger in future. Prime Minister Modi and I are two people who get things done, which cannot be said about most people. Thank you for your attention to this matter!
Also read- Has the heat of the ongoing case against Adani in the US fallen on Adani Green? The company had to give clarification; Said this in the filing
Chyawanprash is a part of every Indian's life, it reduces diseases and increases energy.