India said on Wednesday that it is still engaged with the US over the proposed tariff move, after Washington outlined fresh duties that could apply to imports from India and dozens of other economies.
The proposal, which has not taken effect, comes under a Section 301 investigation by the Office of the US Trade Representative and is linked to questions around forced-labour import prohibitions.
The USTR has said the measures remain open to public comment and review before any final decision is taken.
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US trade authorities propose tariffs on India, over others countries forced labour import curbs pic.twitter.com/TSLKACQmFK
— Sidhant Sibal (@sidhant) June 3, 2026
Pens poised before the verdict
According to the Commerce Ministry’s statement, the proposed tariffs are “not yet final” and stakeholders may request to participate in public hearings by 22 June 2026.
Written comments can be submitted until 6 July 2026, while public hearings are scheduled for 7 July 2026. The ministry said the USTR would consider comments and testimony before deciding on the measures. The statement also said India remains engaged with the US as part of the Section 301 proceedings.
US proposes 12.5% additional tariff for India over ‘forced labour’ https://t.co/rMydsHOeem
— Financial Express (@FinancialXpress) June 3, 2026
The tariff arithmetic grows more intricate
The proposal is part of a wider US action covering 60 economies, including India.
The USTR has proposed an additional tariff of 12.5% on imports from India and 43 other countries, while 16 other countries would face a lower 10% rate.
The proposed duties would replace an existing 10% tariff under Section 122 of the Trade Act, which is due to expire on 24 July. The USTR has also proposed exclusions for some products covered under Section 232 tariffs and a separate mechanism for textile and apparel imports.
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Ongoing India-US negotiations
The tariff proposal comes as India and the US continue in-person negotiations on an interim trade deal.
Financial Express reported that the second round of talks was under way in New Delhi, led by Assistant US Trade Representative for South and Central Asia Brendan Lynch, and that officials say the broader framework agreement is nearing completion.
The government statement said India is also working with the US to finalise that framework agreement, which was announced on 2 February 2026 and referenced in a joint statement on 7 February 2026.
