New Delhi, June 11: United States President Donald Trump said that even though India has reduced import tariff on American motorcycles to 50 per cent from previous 100 per cent, it is still too high and unacceptable to him. The 45th U.S. President said that under his leadership the country can no longer be fooled. He also said that "US is a bank that everybody wants to rob". Will Always Uphold National Interest, Says India as Donald Trump Terminates Preferential Trade Status.
“We’re not the foolish country that does so badly. You look at India, a very good friend of mine, Prime Minister (Narendra) Modi, you take a look at what they’ve done, 100 per cent tax on a motorcycle. We charge them nothing,” Trump told CBS news in an interview Monday, reported PTI. Donald Trump Says India, China Don't Have Clean Air and Water, 'Lack Sense of Pollution'.
Referring to import tariff on the Harley Davidson bikes, Trump said that its an issue close to his heart and wants India to lessen it to zero. “So, when Harley sends over there, they have 100 per cent tax. When they (India) send in — they make a tremendous number of motorcycles — when they send them in, no tax. I called him. I said it’s unacceptable,” Trump said, referring to his talk with Prime Minister Narendra Modi.
“But if I didn’t, if we didn’t have the power of what we have, and if we weren’t the bank–well, if we weren’t the bank we wouldn’t even be talking about it because nobody would care. But we’re the bank that everybody wants to rob, and that’s what they’ve been doing for a long period of time. USD 800 billion we have in trade deficits with other countries. So you tell me who made those deals,” he said in response to a question.
In March, Trump claimed that India charges America high tariffs on exports and called for a reciprocal tax. In February last year, India had slashed customs duty on imported motorcycles such as Triumph and Harley Davidson after Trump threatened retaliatory action.
The matter was first brought by US President soon after taking office, during his inaugural speech to a joint sitting of US Congress in 2017. Although he didn't name India then but said tariff on Harley Davidson bikes are so high that it put the brand on disadvantage against its competitors.