India sought trade deal with US, claims trump
11 Sep 2018
President Donald Trump has said the tough stance taken by his administration by slapping pre-emptive tariffs on cheaper products from countries like India and China has started paying off as India has sought a trade deal with the US.
Trump wants to stop the benefits that growing economies like India and China have been receiving while he wants the US, which he considers a developing nation, to enjoy subsidies that other nations are now enjoying.
The climb-down by India follows the tough stance of his administration against India’s practice of imposing 100 per cent tariffs on American products while getting their exports to the US cheap, he said.
"Frankly, I'll tell you, India called us the other day. They said they would like to start doing a trade deal, first time," Trump said without mentioning who called up whom.
"They wouldn't talk about it with previous administrations. They were very happy with the way it was," Trump told his supporters at a Joint Fundraising Committee Reception, in Sioux Falls in South Dakota on 7 September.
Trump said his trade representatives headed by Bob Lighthizer (the US Trade Representative) are very tough, smart and very good.
"We have very talented people. They said, 'Why are you calling?' Because of President Trump. I was going to wait a little while. We're going to -- like they want to do it," Trump said, without giving details.
While India and the US are negotiating several trade issues, the talks are in a stalemate as US Trade Representative has demanded a commitment from India to make additional purchases worth $10 billion annually for the next three years.
The United States and Japan have also started discussions over trade, he said.
Trump said that he has become friends with foreign leaders including Prime Minister Narendra Modi and the Japanese Prime Minister Shinzo Abe.
"Practically, every time a foreign leader comes in to see me, whether it's Abe of Japan, whether it's Modi of India, I've become friends with all of them," he said.
"You know, some of them are tough relationships because they've really been taken advantage of our country for many, many decades. But I'm friendly. They respect me. I respect them. They're respecting our country again," he said.
Referring to the latest GDP numbers, Trump said, "Think of this. One point in GDP, now when I started, it was down into low ones. President Obama had the lowest recovery since the Great Depression, so lowest. the worst recovery. It was like this. It was just terrible. And I'm not even knocking it. It was terrible."
"We have such incredible growth. What's happened has been very much of a miracle, but they haven't seen the miracle yet. The miracle is going to start because now we're getting things ready," Trump said.
If countries like India and China can grow at a fast pace, why not the US? he asked.
"I've said, 'You fixed a trade deal. When India has six, seven, eight per cent, when China used to have 11, 12 per cent, they're still at six or seven, when they're at seven per cent they're feeling badly. And I'd say, 'How come we have to be at one per cent?" Well, it's the size. I said, 'Really? Well, China is bigger than we are and India has 1.5 billion people. How come they're at 10 per cent and 11 per cent?' Well, they can't answer it," Trump said.
"They can be at 11 per cent and we're at 1 per cent, and they're saying, oh, that's great. No, no, we have more potential than any other country," Trump said.
The President’s complaints against India and China for distorting the trade advantages of the US comes in the wake of the 2+2 dialogue by US Secretaries of State and Defence, Mike Pompeo and James Mattis, respectively, in New Delhi.
Through the 2+2 talks, the US had purportedly sought to reiterate the strategic convergence between the two countries in the face of an assertive China.