Chennai: US President Donald Trump has mentioned that India has supplied to drop all tariffs on items imported from his nation, whereas the Indian aspect claims that it might be 90 per cent of products, excluding some agricultural merchandise and vehicles. Trump additionally doesn’t need Apple to arrange its crops in India, although the business believes Apple may by no means transfer all its manufacturing to the US.
The Indian authorities has “supplied us a deal the place mainly they’re prepared to actually cost us no tariff”, Trump mentioned at an occasion in Doha referring to the India-US commerce talks.
India has already lowered tariffs on Bourbon whiskey, bikes and some wines. In response to the commerce, India has conceded to solely 90 per cent of the US items underneath zero per cent tariff.
“India may supply to make 90 per cent of US exports tariff-free from day one, utilizing a “zero-for-zero” strategy—slicing tariffs on all items besides autos and agriculture,” mentioned GTRI.
“Within the case of automobiles, India will concede to purchasing autos underneath a sure CIF (Value, insurance coverage and freight) worth threshold. The duties of those automobiles shall be introduced down considerably. India could not open up the car sector totally for American automobiles,” mentioned Ajay Sahai, director basic, FIEO.
India may additionally not be shopping for the US dairy merchandise as there are points associated to non-vegetarian feed given to American cows, he mentioned.
The listing of merchandise that will be more and more purchased from the US consists of petroleum from shale gasoline, petrochemicals, polymer, defence tools, aircrafts and high-tech chips.
Trump additionally mentioned that he has requested Apple CEO Tim Cook dinner to not construct manufacturing models in India.
“I mentioned, ‘Tim, we’re treating you actually good, we put up with all of the crops you inbuilt China for years. We aren’t all for you constructing in India. India can maintain themselves’”, he mentioned.
Amidst the tariff struggle with China, Apple had just lately introduced that it might supply nearly all of its US iPhone provide from India by the tip of subsequent yr. Nonetheless, with China entering into talks with the US, it must be seen how a lot of the manufacturing shall be moved into India.
“It’s too early to foretell whether or not Apple will transfer a big a part of the China manufacturing to India. Trump has been making statements and retracting them. Whereas Apple could transfer some manufacturing to the US, it can’t afford to do it totally as the availability chain is international and fairly advanced. We should wait to see what Apple decides,” mentioned Ashok Chandak, president of India Electronics and Semiconductor Affiliation.
Apple assembled $22 billion value of iPhones in India in FY25, growing manufacturing by 60 per cent over the earlier yr. Foxconn Expertise Group’s manufacturing facility in southern India is the foremost provider of India-made iphones. Tata Group’s electronics manufacturing arm, which purchased Wistron Corp.’s native enterprise and runs Pegatron Corp.’s operations in India, can be a key provider. Tata and Foxconn are constructing new crops and including manufacturing capability.
