India's Modi to meet Trump with planned tariff concessions

10/2/2025 14:00

Indian Prime Minister Narendra Modi is preparing additional tariff cuts ahead of his meeting with U.S. President Donald Trump that could boost American exports to India and avoid a potential trade war, government officials said.



Modi's trip to the U.S. on Wednesday and Thursday comes as Trump plans to announce reciprocal tariffs on many countries, a move aimed at reshaping global trade relationships in favour of the United States.



Trump has not specified which countries would be hit but has previously called India a "very big abuser" on trade and stressed that India should buy more American-made security equipment to move toward a fair bilateral trading relationship.



India is considering tariff reductions in at least a dozen sectors, including electronic, medical and surgical equipment, along with some chemicals, to raise U.S. exports. These reductions align with New Delhi's domestic production plans, three government officials said.



The officials, said that concessions are being considered for items that India primarily sources from the U.S. or has potential to buy more of, such as dish antennas and wood pulp. Modi is expected to discuss tariffs with Trump next week and India is open to discussing a possible mini trade deal.