India has proposed lifting tariffs on steel, auto parts, and pharmaceuticals, seeking to avoid US tariffs imposed and suspended by President Donald Trump for three months, according to people familiar with the matter, Bloomberg reported.
The sources said the proposed tariff exemption would apply to a specified amount of imports, and after that limit, imported industrial goods would be subject to normal tariffs.
They added that Indian trade officials made this proposal during their visit to Washington late last month to accelerate negotiations on a bilateral trade agreement expected by the fall of this year.
They added that the two countries are prioritizing specific sectors for concluding a trade agreement as soon as possible, before the three-month period in which the US President suspended reciprocal tariffs expires.
The United States has also asked New Delhi to ease import quality control procedures, which Washington considers a non-tariff trade barrier to its exports, according to the sources.
