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2019-03-04

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International Relations
www.thehindu.com

Describing India as a “very-high tariff nation,” U.S. President Donald Trump has told his supporters that he now wants a “reciprocal tax” or at least “some kind of tax” on goods entering America. “India is a very high-tariff nation. They charge us a lot,” the President said, amidst a temporary truce between the U.S. and China over tariffs.

Referring to his often-cited example of Harley-Davidson motorcycles, he said, “When we send a motorcycle to India, it’s a 100% tariff. They charge 100% when India sends a motorcycle to us, we brilliantly charge them nothing... So, I want a reciprocal tax or at least, I want to charge a tax. It’s called the mirror tax, but it’s reciprocal.”

Early this year, at a White House event to announce his support for reciprocal tax, Mr. Trump had said he was satisfied with the Indian decision to reduce the import tariff on Harley-Davidson motorcycles from 100% to 50%. “Even this is not enough, this is okay,” he had said.

Mr. Trump said on Saturday there was resistance to his move in Senate.

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