Visakhapatnam: Union Finance Minister Nirmala Sitharaman on Thursday said that the impact of the US tariffs will be felt on India, adding that Union Minister Piyush Goyal is going to America and holding talks with the government there.
Speaking at an event in Visakhapatnam, Sitharaman further stated that the tariffs are likely to increase with the decision of the US President.
Sitharaman said, “We will have to see how the Commerce Ministry takes up negotiations with the U.S. to ensure that our interests are well-represented.”
For context, On February 18, US President Donald Trump outlined a new trade policy focused on fairness and reciprocity and said that the US would implement reciprocal tariffs, charging other countries the same tariffs they impose on American goods.
Trump emphasised that this approach would address unfair trade practices, including non-monetary barriers, subsidies, and VAT systems to encourage foreign countries to either reduce or eliminate tariffs against the US or set up their manufacturing base in the US which will add to its growth in the long term.
The Union Finance Minister also spoke about the new income tax rebates announced in the Union Budget 2025.
She said that new methods have made the income tax payment system easier for taxpayers, adding that only three crore people pay taxes so this number will be further reduced with the new tax relief.