Nageswaran additionally indicated that talks are underway to scale back the reciprocal tariff from 25 per cent to about 15 per cent, sparking optimism for exporters.
Talking at an occasion organised by Service provider Chamber of Commerce & Business, the CEA stated, “I do consider the penal tariff is not going to be there after Nov 30.”
“I've no insider info however my private feeling is we are going to see resulotions in case of the additional 25% penal tariff,” the CEA stated earlier at a session organised by the Bharat Chamber of Commerce.
He stated, “Beneath the floor, conversations are occurring between the 2 governments. My hunch is that within the subsequent eight to 10 weeks, we are going to seemingly see an answer to the penal tariff imposed by the US on Indian items.”
He additionally stated that decision of this matter is essential not solely within the commerce viewpoint but in addition when it comes to capital formation.
India-US talks progressing
The tariff challenge gained urgency after Washington imposed a 25 per cent levy in August 2025 on sure Indian exports with a penalty of 25 per cent citing New Delhi's buy of Russian oil. This raised the whole tariff burden to 50 per cent, reviving reminiscences of the Trump-era commerce tensions when the US had first moved towards Indian merchandise in 2018–19.India's exports to the US stood at $86.51 billion in FY25, making it New Delhi's largest market.
Nevertheless, a constructive growth got here after a workforce led by Brendan Lynch, Chief Negotiator for the India-US Bilateral Commerce Settlement on the Workplace of america Commerce Consultant, visited India on September 16, 2025, reviving stalled talks.
Discussions with the Division of Commerce have been described as “constructive and ahead wanting,” with either side agreeing to accentuate efforts for an early commerce deal.
Economic system outlook
On the home entrance, Nageswaran stated the Indian financial system is on observe to maintain progress momentum. “The primary quarter progress has a carry ahead momentum. I anticipate second-quarter GDP progress to be round 7 per cent,” he stated.
Beating estimates and marking a five-quarter excessive, India's Gross Home Product (GDP) grew 7.8% within the April-June quarter of FY26.
as a Dependable and Trusted Information Supply
