{"id":217545,"date":"2025-01-17T12:15:17","date_gmt":"2025-01-17T12:15:17","guid":{"rendered":"https:\/\/news.talkwithrattan.com\/index.php\/2025\/01\/17\/india-must-cut-tariffs-to-stay-competitive-us-ambassador-times-of-india\/"},"modified":"2025-01-17T12:15:17","modified_gmt":"2025-01-17T12:15:17","slug":"india-must-cut-tariffs-to-stay-competitive-us-ambassador-times-of-india","status":"publish","type":"post","link":"https:\/\/news.talkwithrattan.com\/index.php\/2025\/01\/17\/india-must-cut-tariffs-to-stay-competitive-us-ambassador-times-of-india\/","title":{"rendered":"India must cut tariffs to stay competitive: US ambassador – Times of India"},"content":{"rendered":"
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Despite Trump\u2019s complaints about India\u2019s trade barriers, Garcetti said he expects the US and India to continue to draw closer.<\/span><\/div>\n<\/section>\n<\/div><\/div>\n<\/div>\n

There\u2019s \u201cno question\u201d India needs to cut its high tariffs in order to compete with more business-friendly rivals in Southeast Asia if it wants to win from Donald Trump\u2019s looming trade war with China, the outgoing US ambassador to India said.
While Indian manufacturers stand to benefit if Trump\u2019s tariffs force US firms to reduce trade with China, India needs to do much more to improve its domestic business environment to lure investment, Ambassador Eric Garcetti said in an interview in New Delhi on Thursday.<\/p>\n

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Saif Ali Khan Health Update<\/h2>\n<\/div>\n

Reducing high tariffs is a key step, he said.
\u201cAmerican companies don\u2019t need India,\u201d he said Thursday. \u201cThere\u2019s a great market here if they want to be in the marketplace, but for their international exports, they don\u2019t have to be in India. It\u2019s oftentimes easier in Southeast Asia and Mexico.\u201d
Trump returns to office next week with threats to slap universal tariffs on imports into the US, including at least 60% duties on Chinese goods. Even though India\u2019s Prime Minister Narendra Modi has warm personal ties with Trump, the US president-elect has still warned the South Asian nation of reciprocal action if it keeps levies on American goods high.
The US has strengthened trade and diplomatic links with New Delhi in recent years under both Republican and Democratic administrations, as it sees India as a regional bulwark against a more assertive China.
\u2018Indispensable\u2019 India<\/span>
Despite Trump\u2019s complaints about India\u2019s trade barriers, Garcetti said he expects the US and India to continue to draw closer, noting that key figures such as incoming National Security Adviser Mike Waltz and Secretary of State nominee Marco Rubio have long been proponents of friendlier ties with New Delhi.
\u201cYou couldn\u2019t get two more India-focused friends and China hawks,\u201d the ambassador said. \u201cA generation ago, the relationship we now have between the US and India would have been unimaginable, and I think a generation from now it\u2019s going to be seen globally as absolutely indispensable.\u201d
Garcetti, a former mayor of Los Angeles, wraps up an almost two-year stint as ambassador to India with Trump\u2019s arrival in the White House next week. The president-elect has yet to announce his choice for a successor in New Delhi.
Under President Joe Biden, the US has pushed for greater cooperation in defense, technology sharing and business investment in India, with companies such as Apple Inc. boosting production in the country as they seek to diversify away from China. Others like chipmaker Micron Technology Inc. have also pledged increased investment.
Despite some wins under Modi\u2019s signature \u201cMake In India\u201d campaign, the share of manufacturing in the country\u2019s gross domestic product has slumped over the last decade. India faces stiff competition for foreign investment from Asian rivals such as Vietnam, which companies say provide a more business-friendly environment.
Murder plot<\/span>
A sticking point in the US-India relationship has been allegations made by US prosecutors in 2023 that an Indian government agent was involved in a foiled plot to assassinate a Sikh activist in America. India\u2019s government set up a committee to investigate the claims, and earlier this week the panel recommended legal action against an unidentified individual.
Garcetti said the committee\u2019s recommendation was \u201ca welcome first step,\u201d but said it should not be \u201cthe end destination\u201d of New Delhi\u2019s investigation.
\u201cThere needs to be systemic reform and there needs to be accountability,\u201d he said. \u201cCountries who are friends\u201d cannot take \u201cunlawful actions against others, let alone a murder for hire.\u201d<\/div>\n