US Ambassador to India, Eric Garcetti, has emphasized the need for both countries to collaborate in lowering tariffs to enhance trade relations. Speaking at an event organized by the US-India Business Council, Garcetti pointed out that India is currently the "highest tariff" major economy globally. He stated, "We need to work together to lower tariffs, not to see them go up," highlighting the importance of making trade more equitable and fair.

Garcetti's remarks come amid discussions surrounding trade barriers and tariffs, particularly in light of comments from US President-elect Donald Trump, who has previously criticized India's high tariffs and suggested potential reciprocal tariffs. Garcetti noted that while India has made progress in reducing tariffs, there are still significant barriers that hinder trade efficiency[. He urged for "honest conversations" about these issues, advocating for deeper negotiations beyond surface-level discussions.

The ambassador also highlighted the substantial growth in bilateral trade, which has increased tenfold since 2001, with the US being India's largest trading partner. In the financial year 2023-24, merchandise trade between the two nations reached nearly $120 billion. Garcetti called for mutual efforts to ensure that both countries can meet their economic goals through improved infrastructure, protection of intellectual property, and workforce training.