Tariffs Turmoil: India Edging Towards Last-Minute US Deal
July 08, 25
(IDEX Online) - India today (Tuesday 8 July) appeared to be edging towards a last-minute "mini trade deal" that could see the US back down on its proposed 27 per cent reciprocal tariffs.
President Donald Trump said earlier today on Tuesday said that the US was was "close to making a deal with India," with just hours left before the deadline at 12.01am EST on Wednesday 9 July.
Such a deal would come as a huge relief for the country's diamond industry, which has been largely paralyzed by three months of uncertainty since President Donald Trump made his "Liberation Day" speech on 2 April.
A deal between the two countries would be limited in scope, according to reports, but would likely cover diamonds.
It could include a partial rollback of reciprocal tariffs imposed by the US earlier this year, but the 10 per cent baseline tariff on most goods is expected to remain.
If no deal is reached, the tariffs will automatically take effect from 1 August.
So far only the UK and Vietnam have managed to reach a full deal - and China a partial deal - ahead of the 9 July deadline.
File pic shows US President Donald Trump and Indian Prime Minister Narendra Modi.