US May Remove 25% Additional Tariff On India, Signals Trump’s Minister

New York: Negotiations regarding the proposed Free Trade Agreement (FTA) between the European Union and India have reached their final stage. Meanwhile, an important signal has emerged from America. America may consider removing the additional 25 percent tariff imposed on India. This tariff was imposed to buy oil from Russia.

Is America going to remove the 25% tariff imposed on India?

US Finance Minister Scott Besant said in an interview that India's purchase of Russian oil has now almost completely stopped. In such a situation, there is a possibility of removing 25 percent tariff. According to him, this step is a “success” of America’s policy.

He clearly said that the pressure applied to stop oil purchases from Russia has worked and Indian refineries have now stopped taking oil from there.

Why was a total tariff of 50% imposed on India?

US President Donald Trump has imposed a total tariff of 50 percent on India. Of this, 25 percent tariff was added specifically due to oil imports from Russia. After this decision, there has been some tension in the relations between India and America.

What did Besant say about Europe?

Scott Besant also targeted European countries. He said that Europe refused to impose tariffs on India because it wants to make a big trade deal with India. According to him, this is a double attitude. On one hand there is talk of strictness against Russia and on the other hand products made from the same oil are being purchased.

How much oil did India buy from Russia?

According to Besant, before the Ukraine war, India used only 2 to 3 percent of Russian oil in its refineries. But after the sanctions, Russia started selling oil at cheaper prices, due to which this figure increased to 17 to 19 percent. He claimed that this brought huge profits to Indian refineries.

Did Europe indirectly fund Russia's war?

The US Finance Minister alleges that European countries bought products made from Russian oil refined in India. In this way they unwittingly supported Russia's war economy. When he was asked to clarify this statement, he said that it was a “very irresponsible and foolish” decision.

What is the matter with the 500% tariff on countries buying oil from Russia?

A proposal is currently being discussed in the US Congress, in which it has been said to impose a tariff of up to 500 percent on countries purchasing oil from Russia. India's Foreign Ministry spokesperson Randhir Jaiswal said that the government is aware of this bill and the entire development is being monitored.

How is America changing its economy?

Besant said that America is reshaping the global economic structure. According to him, trillions of dollars of investment are coming back to America, good earnings are being generated from tariffs and many companies are announcing plans to set up factories in America again.

What indications were there of the relations between China and America?

He also said that President Trump may visit China in April and Chinese President Xi Jinping may visit America in the summer. There is a possibility that the two leaders will meet four times this year.