US President Trump has signalled a softer approach to tariffs, describing it to be "generous" and "kinder" just hours before the April 2, 2025, deadline for reciprocal (or tit-for-tat) trade measures. This change in tone comes amid ongoing negotiations and rising tensions with key trading partners.
Trump said, "The tariffs will be far more generous than those countries were to us. Meaning, they will be kinder than those countries were to the United States of America over the decades. They've ripped us off like no country has ever been ripped off in history. And we are going to be much nicer than they were to us. But it’s substantial money to the country, nevertheless."
What is reciprocal tariff
A reciprocal tariff is a trade policy where a country imposes tariffs on imports equal to the tariffs other countries apply to its exports. President Trump announced plans for reciprocal tariffs starting April 2, 2025, to address trade imbalances with nations imposing higher duties on US goods. The policy aims to mirror foreign tariffs, ensuring equal treatment in trade.
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Trump singling out India in the past
Trump has repeatedly criticised India for high tariffs on US exports, notably during Prime Minister Narendra Modi’s February 2025 visit to the U.S. He cited India’s 100% tariff on motorcycles as an example, contrasting it with the United States' 2.4% tariff on Indian motorcycles. Trump has called India a “tariff king” and pushed for reciprocal measures to level the playing field.
Jaishankar on India-US trade talks
India's External Affairs Minister Dr. S Jaishankar, speaking at the Asia Society on March 26, 2025, described India-US trade talks as “very active” and “intense.” He highlighted ongoing negotiations for a bilateral trade agreement, following Modi’s talks with Trump, targeting a first phase by fall 2025. Jaishankar noted a strong business case for the deal but avoided predicting outcomes ahead of the April 2 tariff deadline.
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