The Federation of Indian Chambers of Commerce and Industry (FICCI) has expressed its disappointment regarding the United States’ decision to impose a 25% tariff and secondary sanctions on Indian exports, effective Friday. The leading chamber hopes these measures are temporary and anticipates a swift conclusion to a permanent trade agreement between the two nations.
FICCI President, Harsh Vardhan Agarwal, stated that the move is unfortunate and will negatively impact Indian exports. He expressed optimism that the increased tariffs would be short-lived, paving the way for a finalized trade deal.
Agarwal highlighted the strong and multifaceted partnership between India and the U.S., encompassing technology, defense, energy, and advanced manufacturing. He expressed FICCI’s confidence in a beneficial outcome for both countries once the trade agreement is finalized, following ongoing detailed discussions.
India has been actively pursuing a bilateral trade agreement with the U.S. since the start of the year. A U.S. team is scheduled to visit India in late August to further discuss the BTA. FICCI is hopeful for progress in these discussions, with the aim of completing negotiations by September-October 2025.
The U.S. represents a crucial market for Indian exporters across goods and services, and the industry seeks a long-term agreement. At the same time, India offers a significant market for U.S. businesses and corporations.