CNI News Desk
Big news on the global trade front! The US and India are trying to wrap up a major tariff-cutting trade deal before President Donald Trump’s deadline on July 9. But there’s a catch — they’re still clashing over dairy and agriculture.
According to insiders, both countries have been deep in talks in Washington, hoping to sort things out. This move follows Trump’s surprise deal with Vietnam, where he slashed tariffs from a scary 46% down to 20% — and even promised duty-free access for US goods!
Now, all eyes are on India.
Here’s the drama:
- Trump had earlier threatened to slap a 26% tariff on Indian goods
- That was cut to 10% temporarily, buying time for negotiations
- But if no deal happens soon, those higher tariffs could be back on the table
India’s trade team has been in Washington for days, trying to smooth things out. The hope? Lock in a win-win deal — but only if the dairy and agri disagreements get sorted in time.
Stay tuned the July 9 deadline is just around the corner, and this deal could change everything for US-India trade!
Prime Minister Narendra Modi’s government is being cautious about trade talks, as it doesn’t want to appear like it’s giving in on issues that affect Indian farmers — a powerful and influential voter group, sources said.
That said, India is willing to ease tariffs on items like walnuts, cranberries, some fruits, medical devices, cars, and energy-related products. A U.S. source close to the negotiations said things are moving quickly and that negotiators have been told to get ready for a possible big announcement.
“There’s been a lot of focused effort from both sides. They know this deal is not just about money — it’s also about strengthening strategic ties,” the U.S. source added.
Even Donald Trump seemed optimistic on Tuesday. Speaking to reporters aboard Air Force One, he said a deal with India to cut tariffs and open up India’s huge 1.4 billion-person market to U.S. businesses might be close.
However, he wasn’t so hopeful about Japan. Trump hinted at slapping Japan with steep tariffs — possibly 30% or even 35% — far above the 24% he had previously floated. Japan is trying to negotiate lower tariffs on its cars and steel, but progress there seems slower.
(With agency inputs)