US President Donald Trump has revealed plans to implement reciprocal tariffs on countries such as India and China, aiming to match the import duties these nations impose on American goods. The measure is part of Trump’s broader effort to tackle what he views as unjust trade policies.

Under this approach, the US would levy the same tariffs that India or China place on American products. For instance, if India imposes a 100% duty on certain US imports, Washington would respond with a similar tariff on Indian goods.

Trump has repeatedly criticized India’s tariff regime, labeling it among the toughest for American businesses. He pointed to Harley-Davidson as a case where steep Indian tariffs pushed the company to manufacture locally. While some experts warn of possible trade friction, the impact on India may be modest. A report from the State Bank of India projects that even significant reciprocal tariffs could reduce Indian exports by just 3-3.5%.

The proposed tariffs could reshape trade relations between the US and key partners like India and China.

Analysts are divided: some believe diversified export strategies will cushion the blow, while others caution against potential disruptions to global trade. Trump’s push for what he deems fairer trade may strain diplomatic ties but underscores his administration’s determination to revise international economic agreements with major trading partners.

Disclaimer: This image is taken from AP.