NEW DELHI: Commerce and industry minister Piyush Goyal has said Indian exporters will enjoy a “competitive advantage” in the US market under the interim trade framework, arguing that an 18 per cent tariff on Indian goods compares favorably with higher duties imposed on others.Speaking a day after US President Donald Trump signed an executive order reducing tariffs on Indian imports to 18 per cent, Goyal dismissed criticism that New Delhi conceded too much by accepting the rate while offering duty-free access to American goods.
Also read: Piyush Goyal hails negotiators behind FTAs after India-US trade dealIn an exclusive interview with PTI, Goyal pointed out that China faces tariffs of 35 per cent, while several other countries are subject to duties of 19 per cent or more, positioning India more favorably in relative terms.The executive order removes a 25 per cent additional duty imposed in August 2025, which had been layered on top of an earlier 25 per cent reciprocal tariff, pushing effective duties on some Indian exports to as high as 50 per cent. The new 18 per cent rate marks a significant rollback and restores India’s standing in the US market after months of strain linked to New Delhi’s purchases of Russian oil.Goyal said a short document could not reflect the full scope of the agreement and insisted that adequate safeguards had been built in, particularly for farmers. “I am very excited about the future of India. I can see before my eyes these international engagements, we have concluded nine agreements across the world, in the East and the West, covering different continents and 38 countries. Thirty-seven of them are developed; Mauritius has a largely Indian-origin population and does not compete with us. These 38 countries represent a very large share of global GDP. “They are rich economies that largely do not compete with us and are mostly complementary.”He added, “I can see the huge potential that going international will provide for our farmers, fishermen, workers, businesses, investors, and MSMEs, creating many job opportunities. Effectively, we have opened large markets, in addition to India’s own fast-growing large economy, enabling economies of scale. High-quality manufacturing and service delivery can become the hallmark of India. This is the path to Viksit Bharat 2047.“Goyal also framed India’s trade negotiations as being conducted from a position of strength. “That’s what is our negotiating strength,” he said, noting that India is currently a $4 trillion economy but is projected to grow to $30–35 trillion by 2047. “And that is the confidence that India has today, that delta of opportunity from 4 trillion to 30-35 trillion, that is the future we offer.”
