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India-US trade deal: Both countries in talks to finalise pact and reduction of tariff, says MEA responds to Oppn query
Th Ministry of External Affairs (MEA) on Thursday, July 24, responded to a question linked to the 'reimposition of tariffs on Indian exports' by the United States, saying India and the US are working towards finalising the 'first tranche of a mutually beneficial, multi-sector Bilateral Trade Agreement (BTA).'
The foreign ministry also said that the trade teams of both countries are presently engaged in active negotiations on the BTA and discussions are 'aimed at adopting an integrated approach to further strengthen and deepen bilateral trade relations, including through enhanced mutual market access, reduction of tariff and non-tariff barriers, and closer integration of supply chains.'
The question came from Shiv Sena (UBT) MP Priyanka Chaturvedi who asked '(a) whether Government has taken note of the recent announcement by the United States administration regarding the reimposition of tariffs on Indian exports, including a proposed 26 percent duty on select sectors; (b) whether the issue of these tariffs was formally raised by the Indian delegation during the External Affairs Minister's visit to Washington from 30 June to 2nd July, 2025, for the Quad Ministerial Meeting.' Also Read | Explainer: Possible impact of Trumps reciprocal tariffs on India
Responding to the query raised by the Opposition MP, MoS MEA Kirti Vardhan Singh said, 'On 2 April 2025, the US announced the imposition of additional ad valorem reciprocal duties on 185 countries (including the European Union). As per the order, a 10 per cent tariff was imposed on all countries effective 5 April 2025.'
'From 9 April 2025, this was to be revised to country-specific tariffs. The reciprocal tariff applicable to India was fixed at 26%. Subsequently, a 90-day pause, till 9 July 2025, was authorized with substantially lower reciprocal tariff of 10%. On 07 July 2025, the implementation date for the reciprocal tariffs was further extended from 9 July 2025 to 1 August 2025.'
