US President Donald Trump on Thursday demanded that India withdraw its recent hike on US imports.
Trump made the demand in a tweet as he left the US to participate in the G20 Summit in Osaka, Japan. Trump tweeted, “I look forward to speaking with Prime Minister Modi about the fact that India, for years having put very high tariffs against the United States, just recently increased the tariffs even further. This is unacceptable and the tariffs must be withdrawn!”
The discussions on the sidelines of the G20 Summit will be the first time Trump and Modi will be meeting after the latter returned to power in the recent general elections.
The Modi government implemented a hike in customs duties on 28 products from the US on June 16. The products included almonds, pulses and walnuts and the duties are expected to fetch India approximately $217 million in additional revenue.
The Indian government decided to enforce a customs duty hike after the US enforced higher tariffs on some exports from India such as steel and aluminium.
Trump has previously referred to India as a “tariff king” for the high taxes enforced on US imports.
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Trade tension between the two countries started rising after the Trump Administration terminated India's preferential trade status under the Generalised System of Preference. The move was done on the grounds India had not assured the US that it will provide "equitable and reasonable access" to its markets.