Will Trump-Modi Meeting Avert Tariff Hike? Trump’s Interview Suggests Otherwise

Just days after Indian Prime Minister Narendra Modi held talks with U.S. President Donald Trump, the latter has revealed details about their conversation on tariffs. His remarks suggest that India may not have been able to avert a tariff hike, despite the projected bonhomie between Modi and Trump.

In an interview with Fox News, Trump, accompanied by his billionaire adviser Elon Musk, stated:

“(E)very country in the world takes advantage of us, and they do it with tariffs. They make it impossible for him to sell a car, practically, in, as an example, India. I don’t know if that’s true or not…”

Musk then interjected: “The tariffs are like 100% import duty.”

Trump responded: “Now, if he built the factory in India, that’s okay, but that’s unfair to us. It’s very unfair.”

Trump went on to describe his conversation with Modi:

“And I said, ‘You know what we do?’ I told Prime Minister Modi yesterday—he was here. I said, ‘Here’s what we do. We’re going to be very fair with you.’ They charge the highest tariffs in the world, just about.”

When Fox’s Sean Hannity asked if the tariffs were “36%,” Trump insisted they were much higher, while Musk clarified that auto imports faced a “100%” tariff. However, India’s new EV policy offers a 15% reduction on import duties, provided the carmaker makes a substantial investment in the country and sets up a local factory—something that is likely to benefit Tesla.

“Yeah, that’s peanuts,” Trump continued. “So, much higher. And others too. I said, ‘Here’s what we’re going to do: reciprocal. Whatever you charge, I’m charging.’ He goes, ‘No, no, I don’t like that.’ ‘No, no, whatever you charge, I’m going to charge.’ I’m doing that with every country.”

Trump then asserted that “nobody can argue” with his approach.

“You know, the media can’t argue — I said — they said, ‘Tariffs—you’re going to charge tariffs?’ You know, if I said, like, 25 percent, they’d say, ‘Oh, that’s terrible.’ I don’t say that anymore—because I say, ‘Whatever they charge, we’ll charge.’”

India has yet to clarify whether the meeting between Trump and Modi was effective in stalling the tariff hike that Trump has been pushing for.

Also Read: PM Modi’s Trade Talks with Trump Hailed as ‘Masterclass’ by American Media