Today is the big one': Trump's 'reciprocal tariffs' post ahead of meeting with PM Modi

Washington, D.C.: Hours before his scheduled meeting with Indian Prime Minister Narendra Modi, former U.S. President Donald Trump hinted at a major trade policy announcement, posting a cryptic message on Truth Social:

"Three great weeks, perhaps the best ever, but today is the big one: Reciprocal Tariffs!!! Make America Great Again!!!"

The statement has sparked speculation over Trump's reciprocal tariff policy, which aims to match U.S. import duties with the tax rates imposed by other nations.

Targeting High Tariffs on U.S. Imports

Trump has long criticized India's high tariff structure, arguing that it restricts American products from competing fairly in the Indian market. His administration previously took issue with India's duties on agricultural products, motorcycles, and medical devices, calling for a more balanced trade agreement.

The announcement could also have broader implications, affecting countries with higher tariffs on U.S. goods, including China, the European Union, and Japan.

Market Reactions & Global Impact

Trump’s tariff stance has already had an impact on global markets. Euro zone bond yields dropped following his announcement, with Germany’s 10-year bond yield falling by 5 basis points to 2.433%.

Economists warn that increasing import duties could slow down the European economy, potentially prompting further interest rate cuts by the European Central Bank.

With Modi set to arrive at 4 PM local time (1900 GMT), all eyes are on the White House to see whether Trump will officially unveil his reciprocal tariff plan and what this means for U.S.-India trade relations.