<p>India Prime Minister Narendra Modi is reportedly weighing cutting tariffs on the tens of billions of dollars worth of U.S. goods that come into his country every year in an effort to stave off President Donald Trump&#8217;s reciprocal tariffs that are set to go into place next month.</p>
<p>Reuters <a href="https://www.reuters.com/world/india/india-eyes-tariff-cut-23-bln-us-imports-shield-66-bln-exports-sources-say-2025-03-25/">reported</a> that India was considering cutting tariffs on &#8220;more than half of U.S. imports worth $23 billion.&#8221;</p>
<p>Under the country&#8217;s current tariffs, 55% of goods from the U.S. are subject to a 5% to 30% tariff, the report said. Tariffs on meat, wheat, and dairy products, which range from 30% to 60%, were off the table. Tariffs on other food items could be lowered as could automotive tariffs, which are greater than 100%.</p>
<p>Indian officials specifically were concerned about tariffs on pearls, mineral fuels, machinery, boilers, electrical equipment, pharmaceuticals, and automotive exports.</p>
<p>Indian officials told Reuters that they were open to &#8220;substantially&#8221; reducing tariffs on these items and, in some cases, scrapping them altogether. They made clear that they would only do so if India was spared from Trump&#8217;s tariffs, which go into effect on April 2nd.</p>
<p>The proposed cuts are included in the first phase of a trade deal that is being negotiated between the U.S. and India, the report said.</p>
<p>If the cuts go through, they would be the largest cuts India has made on tariffs in many years.</p>
<p>India hopes to avoid being hit by Trump&#8217;s tariffs — which are specifically aimed at countries that have tariffs on U.S. goods — because the country&#8217;s leaders believe that Trump&#8217;s tariffs would &#8220;hit 87% of its total exports to the United States worth $66 billion.&#8221;</p>
<p>The United States currently has a $45 billion trade deficit with India, something that Trump is looking to balance out.</p>

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India Considers Massive Cut On Tariffs Of U.S. Goods To Avoid Trump’s Reciprocal Tariffs