US-India To Push For $500 Billion Bilateral Trade Amid Tariff Tensions

Indian Prime Minister Narendra Modi announced on Thursday that India and the United States have set an ambitious target to double their bilateral trade to $500 billion by 2030.

Speaking at a press conference in Washington following a meeting with US President Donald Trump, Modi emphasized the need for a mutually beneficial trade agreement, which both nations aim to finalize soon.

"We have set ourselves the target of more than doubling our bilateral trade to $500 billion by 2030. Our teams will work on concluding a mutually beneficial trade agreement very soon," Modi said. He also highlighted cooperation in artificial intelligence, semiconductors, and strengthening supply chains for critical minerals.

The announcement comes amid ongoing tensions over tariffs, with President Trump reaffirming his stance on fair trade practices. Trump welcomed India's recent move to reduce tariffs on US goods but stressed the importance of addressing trade imbalances. He reiterated his administration's commitment to ensuring a level playing field, stating that the US would implement a reciprocal tariff policy.

"It's very hard to sell into India because of their strong trade barriers and high tariffs," Trump said. "But now, under our new reciprocal tariff system, whatever India charges us, we will charge them. It's a fair approach for the American people."

Trump noted that during his first term, efforts to secure lower tariffs from India were unsuccessful. With the new policy, the US will simply match India's tariff rates, eliminating prolonged negotiations. "We're just going to do it the easy way-whatever you charge, we charge. That way, it no longer matters what they set," he said.

Despite these trade frictions, both leaders reaffirmed their commitment to deepening economic ties. Trump highlighted that the US-India trade deficit could be balanced through increased American energy exports, particularly in oil and gas.