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Donald Trump Signals Optimism on India Trade Pact Despite Fresh Tariff Pressure

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Washington, D.C.: US President Donald Trump has expressed confidence that the United States and India will eventually finalize a trade agreement, even as Washington considers imposing additional tariffs on imports from several countries, including India.

Speaking to reporters at the White House, Trump highlighted his personal rapport with Prime Minister Narendra Modi and suggested that ongoing discussions between the two nations would lead to a mutually acceptable outcome.

“I have a very good relationship with Prime Minister Modi,” Trump said, adding that he believes both countries will be able to resolve outstanding trade issues through dialogue and negotiations.

The remarks come at a time when trade talks between New Delhi and Washington remain active. A US delegation recently visited India to advance discussions on an interim bilateral trade arrangement aimed at expanding economic cooperation and improving market access for businesses on both sides.

However, the positive signals were accompanied by renewed trade concerns after the US administration proposed additional import duties on products from dozens of countries. American officials have argued that certain trading partners have not done enough to prevent goods allegedly linked to forced labour from entering global supply chains.

India is among the countries that could face higher tariffs if the proposed measures move forward. The plan is currently part of a broader review process and remains subject to consultations and hearings before a final decision is taken.

During his interaction with journalists, Trump also revisited long-standing complaints about market access for American companies in India. He cited the example of motorcycle manufacturer Harley-Davidson, arguing that high import duties had previously made it difficult for the company to compete in the Indian market.

The US President maintained that his administration’s trade policies are intended to create what he described as a more balanced trading relationship with major economic partners. According to him, Washington is seeking greater reciprocity in tariffs and market access arrangements.

Despite recent disagreements over duties and trade regulations, officials from both countries have repeatedly stressed the importance of strengthening economic ties. India and the United States remain key strategic partners, with bilateral trade covering sectors ranging from technology and manufacturing to defence and energy.

Negotiators are expected to continue discussions in the coming weeks as both sides work toward an agreement that could reduce trade barriers while addressing concerns raised by businesses and policymakers.

All news on Encounter News is computer-generated and sourced from third parties. Please read and verify carefully. We will not be responsible for any issues. 

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