Following US President Donald Trump’s decision to impose a 27% reciprocal tariff on Indian exports, the Indian government has begun assessing its economic impact and engaging with industry stakeholders. The commerce ministry stated on Thursday that it is also exploring potential opportunities arising from the new US trade measures.

Trump’s tariff on India is lower than the 34% levied on China and the 46% on Vietnam but remains a significant shift in trade policy. Other Asian nations, including Thailand and Indonesia, faced higher tariffs as well, reflecting broader US trade strategy adjustments.

India’s commerce ministry emphasized that discussions with US trade officials are ongoing to fast-track a multi-sectoral Bilateral Trade Agreement (BTA). The government reaffirmed its commitment to strengthening its strategic partnership with the US while ensuring fair trade practices.

The US Trade Representative (USTR) report had previously flagged India’s tariff policies on various products, including agricultural goods, automobiles, and alcoholic beverages, citing unpredictability due to the gap between applied and WTO-bound tariffs. India is now closely evaluating these concerns while formulating its response to the new US trade stance.