India Not In Favour Of Retaliatory Duties Against US Amid Trade Pact Talks, Say Sources

India is not in favour of imposing retaliatory duties on imports from the United States, amid the ongoing talks over a bilateral trade agreement, persons privy to the development told NDTV Profit on Thursday.

This comes after US President Donald Trump levied 27% tariffs on all Indian imports, as part of the reciprocal tariff policy he unveiled on Wednesday. On neighbouring China, he slapped additional tariffs of 34%.

The tariffs on certain items will be reviewed under ongoing trade pact talks, the sources said. They further added that the government has sought inputs from exporters on the duties levied by the Trump-led US administration.

An export-incentive scheme is already in the works to support Indian exporters, the persons added.

Earlier in the day, NDTV Profit reported that India is monitoring impact of reciprocal tariffs imposed by the US, which seem to be a mixed bag.

Some sectors will get impacted, while some might benefit as India gets a competitive edge against nations like Vietnam and Indonesia, considering trade tariffs imposed on them, sources had mentioned.

Notably, the negotiations between India and the US for a comprehensive trade pact began after Prime Minister Narendra Modi visited Washington in February and met Trump. The two leaders agreed to double the India-US bilateral trade to $500 billion by 2030.