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BUSINESS & TRADE MAY 23, 2025 | The Indian Eye 36

TARIFF WAR

Zero tariffs and no Apple

manufacturing: Trump’s statements

raise eyebrows and concern in India

Dr S Jaishankar says that the trade is going on between India and the US and these are

complicated negotiations and no final agreement has been reached yet

OUR BUREAU
Doha/New Delhi/Mumbai

n a shocking statement, US President Donald
Trump on Thursday claimed that India had of-
Ifered the US a nearly no-tariff deal on a recipro-
cal basis. “They have offered us a deal where we’re
basically they’re willing to literally charge us no tar-
iff,” President Trump said while addressing a news
conference in Doha.
He also mentioned that he encouraged Apple
CEO Tim Cook to raise production in the US rath-
er than expanding manufacturing in India. “I had
a little problem with Tim Cook yesterday. I said to
him, my friend, I am treating you very good. You
are coming up with $500 billion, but now I hear you
are building all over India. I don’t want you building
in India. You can build in India, if you want to take
care of India because India is one of the highest tar-
iff nations in the world, so it is very hard to sell in
India,” Trump said.
Earlier it was reported that Apple is set to tran- Apple (CEO) Tim Cook at the inauguration of India’s second Apple retail store in New Delhi in April 2023 (ANI file photo)
sition all production of iPhones destined for the US
market to India. Apple’s decision to ramp up its pro- achieving prosperity for workers,” he said. competitive advantages when shaping their manufac-
duction in India aligns with its broader goal of diver- After United States President Donald Trump turing strategies, and India has emerged as a strong
sifying manufacturing operations away from China. claimed that India had offered the US a Zero-tar- and competitive hub for smartphone production.
Meanwhile, India’s Commerce Minister Piy- iff deal on a reciprocal basis, Congress MP Manish “Companies will see competitive advantage
ush Goyal’s is going to US on May 16 (Friday) to Tewari questioned BJP-led central government’s while deciding their manufacturing strategy. India
commence advance trade talks which is going on for trade policy and demanded an explicit answer from has emerged as a competitive hub for smart phone
some time at official level. This visit comes post US the government. manufacturing,” he said.
Vice President JD Vance’s trip to New Delhi in April In a social media post on X, Tewari said, “Is it a “We don’t comment on what the President (of
in an effort to secure a bilateral trade deal with US. fact that India has offered a Zero Tariff deal to the another country) says,” he added.
Earlier, responding to claims of President United States? That needs an explicit answer from Recently, Apple took some steps to expand its
Trump on a zero-tariff deal with India EAM Jais- the Government?” iPhone production in India, setting up assembly
hankar said that the trade is going on between India Congress leader Jairam Ramesh has also raised plants operating in the country. Two of these plants
and the US. He said these are complicated negoti- questions on Trump’s claims. He further questioned are located in Tamil Nadu, and one is in Karnata-
ations and no final agreement has been reached yet. Prime Minister Narendra Modi’s silence on this issue. ka. For these plants Apple has signed contracts with
His remark came after the US President “The Commerce Minister is in Washington DC manufacturers, such as Foxconn and Tata Group, to
claimed in Doha that India has made a trade deal and President Trump has made yet another grand set up production units.
with zero tariffs. announcement from Doha. There is total chuppi Responding to reports stating US President
On April 23, US President JD Vance said that from our PM. What has he agreed to and what link- Donald Trump had said that India had offered the
India and the US finalised terms of reference for age is there between this and the stoppage of Oper- US a trade deal with zero tariffs, the Commerce Sec-
the ongoing negotiations for completing a bilateral ation Sindoor? Ramesh posted on X. retary Sunil Barthwal said, “Any statement which is
trade agreement between the two countries. Also, after US President Donald Trump on coming from the head of a government elsewhere, I
“Both governments are working on a trade Thursday suggested that he had asked Apple boss Tim think it has been appropriately replied to at the level
agreement built on shared priorities, including cre- Cook to not manufacture in India, Commerce Secre- of the External Affairs Minister. So, I would not like
ating new jobs, building durable supply chains, and tary Sunil Barthwal said that companies will consider to comment any further.”

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