“Many countries are leaving China and not coming to India…”: Eric Garcetti on tariffs

The US Ambassador to India, Eric Garcetti, said that India should reduce its tariffs and that many companies are not coming to India because of the high rates. In an exclusive interview with India Today, Garcetti said that President-elect Donald Trump is right in some ways. He was referring to Trump’s criticism of India’s high interest rates.

In the interview, when asked about Trump’s criticism of India-US trade ties despite his praise of Prime Minister Narendra Modi, Garcetti said: “President Trump is right in some ways. We have to make sure we have bigger, bolder conversations. During this administration, we’ve resolved a hundred percent of our business disputes, so we’ve kind of set the table. Now, if we are true to our word of wanting to replace our dependence on China, and create scale for the world not just for our companies, from healthcare to pharmaceuticals to everyday electronics to important emerging technologies; India is the place to be”

Garcetti said India needs to reconsider its tariffs. “A lot of countries are exiting China and not coming to India because tariffs still have to be reduced further. We can continue to build on transportation and infrastructure, as we see, on brand protection, taxes, training and workforce talent.

This comes at a time when Trump reiterated the high tariffs imposed by India. During a speech at the Detroit Economic Club last year, before the November election, Trump said: “Probably the most important element of my plan to make America extraordinarily wealthy again is reciprocity. It’s a very important word in my plan because we don’t charge tariffs.” Tariffs in general. I’ve started this process, and it’s been pretty great, with vans, vans, etc. We’re really not paying any tariffs. China is going to charge us a 200 percent tariff. The biggest shipper of all India later praised Prime Minister Modi and described him as a “great leader and a great man.”

Meanwhile, Commerce and Industry Minister Piyush Goyal responded to concerns about a possible increase in US imports. He said the government was not concerned about tariffs. He stated that if the tariffs are on China, it only helps India, and if the tariffs are on everyone, then everyone is in the same boat.

“We will continue to do well. But I personally think the democratic world views India as a reliable partner,” Goyal said at Business Today’s Most Powerful Women 2024 event in Mumbai. Goyal agreed that Trump had raised India’s high tariffs perhaps once or twice. But he also made it clear that he loves India and wants to expand business with India.