Trump's Commerce Secretary: "US Will Have To Fix India" Amid Escalating Tariff Tensions

Donald Trump imposed a 50 per cent tariff on Indian imports as part of his administration's trade policy.

The United States needs to "fix" several countries including India, according to Commerce Secretary Howard Lutnick. In his recent comments on trade challenges, Lutnick emphasized that nations such as India and Brazil have "an issue" and must "react correctly" to the United States by opening their markets and avoiding policies detrimental to American interests.

"We have a bunch of countries to fix like Switzerland, Brazil, right? It's got an issue. India, these are countries that need to really react correctly to America. Open their markets, stop taking actions that harm America, and that's why we're offside with them," Lutnick stated during a Newsnation interview.

Lutnick highlighted that even Switzerland, despite being relatively small, maintains a $40 billion trade deficit with the US. While some might characterize Switzerland as a "small rich country," Lutnick contended that its wealth is partially derived from selling $40 billion more in goods to the US than it purchases.

He stressed that these trade imbalances require attention, noting, "And those, I think, will be sorted out, but they take time."

Regarding the Trump administration's negotiation approach, Lutnick explained, "The way that President Trump does deals, the first deal is always the best deal. And then the next deal is higher, the next deal is higher, the next deal's higher."

President Donald Trump implemented a 50 per cent tariff on imports from India. The measures began with a 25 per cent "reciprocal" tariff on Indian products in early August, followed by an additional 25 per cent penalty due to India's continued Russian oil purchases. These tariffs impacted critical sectors including garments, gems and jewelry, footwear, sporting goods, furniture, and chemicals, creating tension in US-India trade relations.

Brazil also faces a similar 50 per cent tariff from the United States.

"These countries (India, Brazil) have to understand that if you want to sell to the US consumer, right? You've got to play ball with the president of the United States," Lutnick emphasized.

Lutnick indicated that numerous trade negotiations remain ongoing. "You still have Taiwan. That's a big one that's coming pretty soon. I expect to really be talking to them and sorting that out. So a bunch of countries left, but the big ones India and Brazil...we'll sort it out over time."

India and the United States have resumed trade discussions. A delegation led by Commerce and Industry Minister Piyush Goyal visited Washington from September 22-24 to meet with US Trade Representative Ambassador Jamieson Greer and US Ambassador-designate to India Sergio Gor to discuss the framework of a potential agreement.