India monitoring US tariff developments, trade deal to be rebalanced if needed: Piyus
India monitoring US tariff developments, trade deal to be rebalanced if needed: Piyush Goyal
M.U.H
27/02/202627
"We'll have to watch. And by the way, you must have read my joint statement that we had finalised with the US. It has categorically said that should the circumstances change, the deal would be re-balanced...to ensure that the balance of the deal is maintained on both sides," he said when asked if India's negotiating position will change after the verdict.
A joint statement issued on February 7 stated that in the event of any changes to the agreed-upon tariffs of either country, the US and India agree that the other country may modify its commitments.
Referring to this statement, Goyal said :"It provides that the sanctity of the deal is both ways".
The remarks come after Trump imposed a temporary 10 per cent tariff on all trading partners for 150 days on February 24, following the Supreme Court’s decision striking down his earlier April 2025 order on reciprocal tariffs. He also announced plans to raise the temporary tariff to 15 per cent.
"It is an evolving situation. We'll have to see. The Trump administration has made some comments...They have many other tools that they could possibly use (to impose new tariffs). They've already used one of them, Section 122, to put a 10 per cent tariff. I think they are on record that next week, they may increase it to 15 per cent for the first 150 days," Goyal said.
The minister was speaking at the News18 Rising Bharat Summit 2026.
On February 7, both nations finalised the contours of the first phase of their bilateral trade agreement. Under the pact, the US agreed to reduce reciprocal tariffs on Indian goods to 18 per cent from 25 per cent and remove the 25 per cent punitive tariffs imposed over India’s purchase of Russian crude oil.
India, in turn, agreed to eliminate or reduce tariffs on US industrial goods and several agricultural products, including tree nuts, fruits, soybean oil, wine and spirits. It also signalled its intent to purchase USD 500 billion worth of US energy products, aircraft and parts, precious metals, technology products and coking coal over five years.
Chief negotiators were scheduled to meet in Washington this week to finalise the legal text of the agreement, but the meeting was put on hold after the court verdict.
When asked whether the tariff changes offer incentives for India, Goyal said domestic exporters could benefit in the interim.
"But bear in mind, the deal was better because it had many other elements...So till we finally ink it, I am not in a position to share every detail. Though all the sensitive matters have already been clarified. But I can assure you, there's so many more positives to the deal that we should wait. Let us see how the situation moves forward," he said.
He reiterated that sensitive sectors remain safeguarded.
"Remember, trade deal or international trade is about comparative advantage... A trade deal is not only about what the tariff is. It is more about the competitive advantage that you get over your competition, and certainly at a 50 per cent tariff, we were at a huge disadvantage in our experts," he added.
Goyal emphasised that India’s approach remains cautious but strategic as the global trade landscape continues to shift.
