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NRIPage | Articles | India to Continue Reducing Import Duties, Strengthen Trade Relations – FM Nirmala Sitharaman | Get Cars & Automotive News. Drive into the Future of Innovation around the world - NRI Page
India will continue to rationalize import duties and streamline its customs tariff structure, Finance Minister Nirmala Sitharaman stated during a post-Budget press conference in Mumbai. She emphasized that anti-dumping duties are periodically reviewed to ensure a fair and investor-friendly trade environment. The government’s tariff policy reforms aim to make India an attractive investment hub while ensuring global competitiveness.Addressing concerns about imported inflation amid global tariff conflicts, Sitharaman assured that the Reserve Bank of India (RBI) is effectively managing inflation using monetary policy tools. February’s repo rate cut further indicates that inflation remains under control.
Finance Secretary Tuhin Kanta Pandey highlighted the ongoing India-US trade negotiations, following a meeting between Prime Minister Narendra Modi and US President Donald Trump. The two nations are set to review tariff policies and target $500 billion in bilateral trade by 2030. While India has already lowered many tariffs, discussions will continue regarding US reciprocal tariffs.During the Union Budget 2025, Sitharaman announced the removal of seven tariff customs rates, leaving only eight simplified tariff categories to streamline trade procedures. Additionally, ₹1 lakh crore is expected to be raised from markets for research and development (R&D) to support India’s long-term economic and industrial growth.
The minister also emphasized the government’s efforts to reduce the compliance burden on businesses. By simplifying regulations under the Production-Linked Incentive (PLI) scheme, the government expects businesses to benefit from ease of doing business reforms, with state governments also working to remove compliance-related barriers.
