Is India Offering the US a Zero Tariff Trade Deal?
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Synopsis
On May 15, President Trump revealed that India is proposing a trade deal with no tariffs on American goods. This agreement could significantly reshape US-India economic relations and aims to double bilateral trade by 2030. Discover how this potential deal aligns with the strategic economic goals of both nations.
Key Takeaways
- India proposes a trade deal with no tariffs on US goods.
- President Trump encourages American manufacturing.
- First phase of the Bilateral Trade Agreement targeted for completion by Fall 2025.
- Ambitious goal to double trade - 'Mission 500'.
- Ongoing discussions highlight the importance of economic ties.
New Delhi, May 15 (NationPress) US President Donald Trump announced on Thursday that India has proposed a bilateral trade agreement with the United States that essentially suggests implementing "no tariffs" on a variety of American products.
"They are presenting us with a proposition where they are willing to impose literally no tariffs," Trump stated during a meeting with business leaders in Doha, Qatar, where he is currently on a state visit.
However, Trump refrained from providing any additional specifics.
The US President also mentioned that he advised Apple CEO Tim Cook to abandon plans for expanding manufacturing operations in India and instead concentrate on developing these facilities in the US. "Apple will be increasing its production in the United States," Trump remarked.
As part of ongoing negotiations regarding the India-US Bilateral Trade Agreement, officials from India’s Department of Commerce and the Office of the US Trade Representative engaged in productive discussions during a meeting held in Washington from April 23 to 25, aiming to finalize the first phase of the Bilateral Trade Agreement by fall (September-October) 2025.
This follows earlier bilateral meetings conducted in March 2025 in New Delhi.
“During the Washington, D.C. meetings, the teams engaged in productive discussions covering a wide array of tariff and non-tariff topics. The teams explored pathways to finalize the first phase of this mutually advantageous, multi-sector Bilateral Trade Agreement by Fall 2025, including potential early wins,” stated the Commerce Ministry.
While productive sector-specific discussions have occurred through virtual means, in-person engagements are scheduled to commence at the end of May, according to the statement.
These fruitful discussions are a part of bilateral efforts aligned with the 'Leaders’ Statement of February 2025' aimed at enhancing and expanding India-US economic relations and supply chain integration through the Bilateral Trade Agreement.
During his visit to Washington in February this year, Prime Minister Narendra Modi discussed with Trump the negotiations for the first phase of a mutually beneficial, multi-sector Bilateral Trade Agreement by fall 2025.
The two leaders committed to strengthening the US-India trade connection to foster growth that guarantees fairness, national security, and job creation. They set an ambitious new target for bilateral trade -- "Mission 500" -- with the goal of more than doubling total bilateral trade to $500 billion by 2030.
Point of View
This emerging trade agreement between India and the US represents a pivotal moment in international trade. It not only emphasizes the importance of economic collaboration but also highlights potential benefits for both countries. As these discussions unfold, it's crucial for both nations to ensure that the agreement fosters fair trade practices and bolsters economic growth.
NationPress
10/09/2025
Frequently Asked Questions
What is the proposed trade deal between India and the US?
India has proposed a bilateral trade deal with the US that suggests no tariffs on a variety of American goods.
What is 'Mission 500'?
'Mission 500' is an ambitious goal set by US and Indian leaders to more than double bilateral trade to $500 billion by 2030.
When is the first tranche of the Bilateral Trade Agreement expected to be concluded?
The first tranche is expected to be finalized by the fall of 2025.
What role does Apple play in this trade discussion?
President Trump advised Apple CEO Tim Cook to focus on manufacturing in the US rather than expanding in India.
How are negotiations between India and the US progressing?
Negotiations have included productive meetings and discussions on tariff and non-tariff matters, aiming for an agreement that benefits both nations.
