NEW DELHI: Former G20 Sherpa Amitabh Kant emphasized on Friday that India must maintain its strategic autonomy and resist pressure when negotiating trade deals with the US. Speaking at the Business Today India@100 event, he urged the country to adopt a calm, rational approach with a focus on long-term goals.
Kant highlighted that trade uncertainties present a unique chance to push through significant economic reforms. “We still have 20 days before the US tariffs take effect. While we must never give in to pressure, we should negotiate sensibly and rationally. There is ample time to reach an agreement,” he said.
On August 6, the US announced an additional 25% tariff on all Indian imports, adding to an existing 25% duty, effectively doubling the total tariff to 50% starting August 27. The White House justified the move as a response to India’s ongoing purchase of Russian oil.
“My belief is that India should never lose its strategic autonomy—a principle we have upheld even during the Cold War. We should stand firm but conduct ourselves with composure and patience, as is currently the case, while keeping a long-term perspective,” Kant added.
The former NITI Aayog CEO also called for streamlining the GST system by removing unnecessary rules and procedures, especially those imposed at the state level. He pointed out delays faced by startups in registration and stressed, “My key message: no rules, policies, or laws should be longer than two pages.”
Kant further advocated for major improvements in the personal income tax framework, noting that significant work has already been initiated in this area.
Responding to former US President Donald Trump’s “dead economy” remark, Kant asserted that India is far from stagnant. “India is the fastest-growing major economy, currently the fourth largest in the world, and poised to soon become the third. Our economy has undergone major structural reforms,” he said.
He also recommended giving a strong push to the travel and tourism sector, which remains unaffected by tariffs. “We should attract more foreign tourists, as this sector is tariff-proof,” he noted.
Highlighting India’s size—larger than 24 European countries—Kant suggested that each state should develop its own brand and promote tourism aggressively. He stressed that national growth can be significantly boosted if just 12 key states achieve 10% growth annually.
“Growth is already strong in the south and west. The eastern mineral-rich states represent a tremendous opportunity, with no reason why they cannot grow at 9-10% per year,” he concluded.
