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Trump's Tariff: Differences Between US, India Cannot Be Resolved Overnight, Says Official

INDIA, JUL 30 – Disagreements over tariffs and market access delay the US-India trade deal as political sensitivities and upcoming elections limit concessions, experts say talks continue beyond the missed August 1 deadline.

  • Amid stalled negotiations, US President Donald Trump warned on July 31, 2025, of higher tariffs ahead of the August 1 deadline, stating, `Trade deal with India remains unfinalised.`
  • With national elections approaching, India proposed reciprocal tariffs in the 13–15% range, but the US insisted on a 20% baseline and pushed for wider agricultural access.
  • Trump said, `India has been a good friend, but India has charged basically more tariffs, almost more than any other country,` as Indian exporters struggle and a Reuters report states India prepared for 20%-25% tariffs without a deal.
  • Failure to reach an agreement could impact US businesses expanding in India and hinder New Delhi’s manufacturing ambitions, Trump said, `'the higher-than-anticipated US tariff rate could negatively affect India’s growth prospects.'`
  • Negotiations continue, with a US Trade Representative team expected in New Delhi in August, as India plans to resume broader talks in mid-August aiming for an October agreement.
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The New Indian Express broke the news in India on Wednesday, July 30, 2025.
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