Visakhapatnam: On Thursday, Union Finance Minister Nirmala Sitharaman acknowledged that the repercussions of US tariffs will impact India, noting that Union Minister Piyush Goyal is set to visit the United States for discussions with the government there.
During an event in Visakhapatnam, Sitharaman indicated that the tariffs are expected to rise following the US President's recent decisions.
She remarked, "We need to observe how the Commerce Ministry engages in negotiations with the U.S. to ensure our interests are adequately represented."
For context, on February 18, US President Donald Trump introduced a new trade policy emphasizing fairness and reciprocity, stating that the US would impose reciprocal tariffs, matching those levied by other countries on American products.
Trump highlighted that this strategy aims to combat unfair trade practices, including non-monetary barriers, subsidies, and VAT systems, encouraging foreign nations to either lower or eliminate tariffs against the US or establish manufacturing operations within the US, which would contribute to long-term growth.
Additionally, the Union Finance Minister addressed the new income tax rebates introduced in the Union Budget 2025.
She explained that the new measures have simplified the income tax payment process for taxpayers, noting that only three crore individuals currently pay taxes, a figure expected to decrease further with the new tax relief.
Furthermore, she mentioned that the government is conducting nationwide consultations regarding the Union Budget, with discussions already held in Mumbai and Visakhapatnam.
Sitharaman stated that during their session in Visakhapatnam, they engaged with various segments of society to gather suggestions and recommendations on the budget, underscoring the government's commitment to openness.
The Union Finance Minister emphasized that the central government is allocating funds without any deficit for all projects undertaken collaboratively with the states.
