AdvertisementThe flags of the United States and India are displayed on the Eisenhower Executive Office Building at the White House in Washington, US, on Jun 21, 2023. (File photo: REUTERS/Elizabeth Frantz)29 Jul 2025 09:34PM (Updated: 29 Jul 2025 09:37PM) Bookmark Bookmark WhatsApp Telegram Facebook Twitter Email LinkedInRead a summary of this article on FAST.Get bite-sized news via a newcards interface. Give it a try.Click here to return to FAST Tap here to return to FASTFAST NEW DELHI: India is preparing to face higher US tariffs – likely between 20 per cent and 25 per cent – on some of its exports as a temporary measure, as it holds off on fresh trade concessions ahead of Washington's Aug 1 deadline, two Indian government sources said.Instead, New Delhi plans to resume broader trade negotiations when a US delegation visits in mid-August, with the goal of finalising a comprehensive bilateral agreement by September or October, one of the Indian officials told Reuters."Talks are progressing well, and a delegation is expected in Delhi by mid-August,” one of the Indian government officials said, adding that President Donald Trump could issue a tariff letter imposing duties of 20 or 25 per cent in a "worst-case scenario"."However, we assume it would be a temporary measure, considering the five rounds of trade talks that have taken place. A deal will soon be worked out,” the official said.Trump said on Monday (Jul 28) that most partners that do not negotiate separate trade deals would soon face tariffs of 15 per cent to 20 per cent on their exports to the United States, well above the broad 10 per cent tariff he imposed in April. His administration will notify some 200 countries soon of their new "world tariff" rate.US Trade Representative Jamieson Greer told CNBC on Monday that talks with India required more negotiations as Trump was more interested in good deals than quick deals.US Treasury Secretary Bessent says India trade deal is very closeIndia proposes retaliatory duties at WTO against US tariffs on autosHowever, agriculture and dairy remain “no-go” areas, with India unwilling to allow imports of genetically modified soybean or corn, or to open its dairy sector.Total bilateral goods trade reached about US$129 billion in 2024, with India posting a trade surplus of nearly US$46 billion.India is holding back on fresh offers while calibrating its strategy amid broader US tariff threats targeting BRICS nations, including India, over issues such as de-dollarisation and purchases of Russian oil, said another official."We remain hopeful of securing a deal that gives Indian exporters preferential access compared to our peers," the official said.Officials spoke on condition of anonymity as they were not authorised to speak to media.India's commerce ministry and the US Trade Representative's Office did not immediately respond to emailed requests for comments."We need more negotiations with our Indian friends to see how ambitious they want to be," Greer said.Analysts said, without a deal, Indian exports could face average US tariffs of around 26 per cent, higher than those faced by Vietnam, Indonesia, Japan or the European Union.Source: Reuters/lhNewsletterMorning BriefSubscribe to CNA’s Morning BriefAn automated curation of our top stories to start your day.Sign up for our newslettersGet our pick of top stories and thought-provoking articles in your inboxSubscribe hereGet the CNA appStay updated with notifications for breaking news and our best storiesDownload hereGet WhatsApp alertsJoin our channel for the top reads for the day on your preferred chat appJoin hereAlso worth readingContent is loading...