More US Tariffs On The Way? Donald Trump Says He May Impose Duty On Indian Rice Imports - What This Means

(MENAFN- Live Mint) US President Donald Trump indicated on Monday that he might impose tariffs on Indian rice, as New Delhi and Washington DC continue their trade talks without any major breakthrough.

Speaking in a meeting at the White House, Trump expressed interest to introduce new tariffs on agricultural imports, particularly Indian rice and fertiliser from Canada.

Trump unveiled a $12 billion fresh aid to farmers of America, some of whom complained that cheaper imports were making it difficult for their products to compete in the US markets.

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“Why is India allowed to do that (dumping rice into the US)? They have to pay tariffs. Do they have an exemption on rice,” the US President asked Treasury Secretary Scott Bessent.

To this, Bessent replied,“No, sir. We're still working on their trade deal.”

Trump said he would“take care” of alleged dumping of Indian rice into the US. Farmers have pointed to falling rice prices, claiming imports from countries like India, Vietnam and Thailand are undercutting their crops.

“They shouldn't be dumping,” Trump said.“I mean, I heard that, I heard that from others. You can't do that.”

The US President's comments came at a time when farmers, a key support base for Trump, are faced with increasing costs and market challenges linked to tariff policies.

Donald Trump did not make it clear how much US tariffs will be imposed on Indian rice imports. India already pays 50% Trump tariffs on its goods, which were imposed in August as a punishment for its continued oil trade with Russia despite the Ukraine war.

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While India pays 50% Trump tariffs on its exports to the US already, the new duties could mean more pressure ahead.

Indian officials are continuing their trade talks with their counterparts in the US, but no major breakthrough has been achieved so far.

The US president is facing growing pressure to address high consumer prices and persistent inflation, which has created voter dissatisfaction that poses a political risk for Republicans heading into next year's midterm elections.

It was previously reported that agriculture was a point of conflict in the India US trade talks. Washington wanted India to open up its agriculture sector for the US, but New Delhi allegedly refused. A US delegation is expected to visit India this week for further talks.

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Trump has not clearly said when and how these tariffs on Indian rice would be imposed, or if they would come in addition to the 50% tariffs that New Delhi has already been paying.

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