India eyes mutual tariff cuts with US

Talks may cover trade, immigration; US keen on farm market

- Dhirendra Kumar

New Delhi wants any tariff reduction in trade negotiations with the US to be reciprocal, which would create a more favourable environment for businesses and drive bilateral trade growth. Such a reduction would be the right step to address imbalances and promote trade expansion, two officials working on impending trade talks said.

This stance aligns with India's broader push for a mutually beneficial trade framework, which gained momentum during Prime Minister Narendra Modi's recent US visit. India sees the announcement of a bilateral trade agreement with the US as a crucial step toward resolving trade tensions from US President Donald Trump's call to eliminate trade disparities with India.

By engaging in negotiations that address concerns on both sides, the two countries aim to establish a fair and balanced relationship and expand their trade to $500 billion in the next five years from the current $200 billion.

"Both countries now have a better understanding of each other's concerns as they work towards finalizing the contours of the bilateral trade agreement," one of the two officials cited above said on the condition of anonymity.