Trump threatens to impose 'reciprocal tax' on India, China

Trump threatens to impose 'reciprocal tax' on India, China

9 news, 5

Washington: US President Donald Trump on Friday threatened to impose "reciprocal tax" on countries like China and India if they do not match America's tariff.

Trump has, in recent days, spoken a number of times about the 50 percent duty that India levies on high-end motorbikes that Harley-Davidson, an American company, sells in India. He has repeatedly insisted that the US levies "zero" duty or "nothing" on motorbikes imported from India.

"We're going to be doing a reciprocal tax programme, at some point so that if China is going to charge us 25 percent or if India is going to charge us 75 percent and we charge them nothing," he said as he imposed a 25 percent tariff on steel and a 10 percent tariff on aluminium from all countries except Canada and Mexico.

"They are 50, they are 75 or they are 25, we are going to be doing the same numbers. It's called reciprocal. It's a mirror of tags. So they charge us 50, we would charge them 50," Trump said.

The US President said the stage for the imposition of reciprocal tax has been set in the first year of his administration.

He said American companies had not been treated fairly by other countries.

Referring to a tweet by Tesla chief Elan Musk, Trump said China charges 25 percent duty on American cars whereas it is just 2.5 percent on import of Chinese cars into the US.

Trump said the "reciprocal tax" programme would ensure "fair trad...

    More on