Cong for FTAs with other nations post 26% US tariff

The Congress on Saturday called upon the Centre to give renewed focus to Free Trade Agreements (FTAs) with the European Union, the United Kingdom, West Asia, China, Japan, Latin American countries and the African Union, while continuing its engagement with the United States amid tariffs imposed by US President Donald Trump.

Advertisement

Senior Congress leader Anand Sharma stressed that in any future trade agreement with the US, India must prioritise its services sector. His comments came following sweeping tariffs announced by US President Donald Trump on April 2, which targeted over 180 countries, including India.

According to the latest tariffs, starting April 9, India faces a 26 per cent tariff on various goods, severely impacting sectors like textiles, pharmaceuticals, information technology, electronics, agriculture and automobiles. The former Union Commerce Minister described the situation as a “trade war”, calling it a grave concern for India and the global economy.

He further warned that Trump’s actions threatened to create major upheavals in both rich and poor economies. “The US president’s decision has turned the global trade system upside down. The World Trade Organisation (WTO), is the only entity that has the authority to conduct rule-based trade,” he said, accusing Trump of violating trade norms.

Sharma acknowledged that the US remained India’s largest trade partner and the country must engage with the US. However, he emphasised that India’s national interest should be paramount, and affected sectors must be taken into account.