TechFlow, May 9 — According to Jinshi Data, two sources reported that India has proposed reducing the tariff gap with the United States from nearly 13% currently to less than 4% in an effort to secure a trade agreement with Trump, in exchange for exemptions from Trump’s “current and potential” tariff hikes.
This would mean a 9 percentage point reduction in the average tariff gap between India and the U.S. (calculated across all products, regardless of trade volume), marking one of the most comprehensive moves by the world's fifth-largest economy to lower trade barriers. The U.S. is India’s largest trading partner, with bilateral trade reaching approximately $129 billion in 2024. The current trade balance favors India, which enjoys a $45.7 billion trade surplus with the U.S.
