India Plans Tariff Cuts on $23 Billion US Imports to Counter $66 Billion Export Risks

India is preparing to reduce tariffs on over half of U.S. imports valued at $23 billion in response to reciprocal tariffs set to take effect on April 2 under President Trump's administration. This significant move aims to protect $66 billion worth of Indian exports potentially impacted by these tariffs, which could affect 87% of India's exports to the U.S. The Indian government is considering cutting tariffs on 55% of U.S. goods, with some tariffs possibly eliminated entirely, as part of ongoing trade negotiations led by U.S. Assistant Trade Representative Brendan Lynch. Currently, India's average trade-weighted tariff stands at around 12%, while the U.S. maintains a much lower rate of 2.2%. Commerce Minister Jitin Prasada highlighted the government's commitment to enhancing market access and reducing trade barriers. The discussions come amid escalating trade tensions and ongoing efforts to finalize a trade deal before the tariffs are imposed.