UPSC Prelims Practice Questions — Finalising India-U.S. trade deal not far-off, but some gaps remain: U.S. official

Q1. On the United States side, who is the lead/chief negotiator holding the trade-negotiating authority for the India–U.S. Bilateral Trade Agreement (Phase 1 interim deal)?

  • A. The U.S. Trade Representative (Ambassador Jamieson Greer)
  • B. The U.S. Secretary of Commerce
  • C. The U.S. Secretary of the Treasury
  • D. The U.S. Secretary of State

Q2. Under the framework of the first phase of the India–U.S. Bilateral Trade Agreement, India proposed to eliminate or reduce tariffs on several U.S. agricultural products. Consider the following four items: 1. Soybean oil 2. Wine and spirits 3. Tree nuts 4. Pulses Which of the above is/are correctly identified as products on India's tariff-concession list under the framework?

  1. Soybean oil
  2. Wine and spirits
  3. Tree nuts
  4. Pulses
  • A. 1, 2 and 3 only
  • B. 1 and 4 only
  • C. 2, 3 and 4 only
  • D. 1, 2, 3 and 4

Q3. With reference to the U.S. tariffs on Indian imports in 2026, consider the following statements: 1. The IEEPA-based 'reciprocal' tariff on India was first set at 50% before being lowered to 18%, whereas the replacement tariff imposed under Section 122 was set at 10%. 2. Section 122 of the Trade Act of 1974 caps the temporary import surcharge at 15% and limits its duration to 150 days, a ceiling that did not apply to the IEEPA-based tariffs. 3. It was the Section 122 tariffs, and not the IEEPA reciprocal tariffs, that the U.S. Supreme Court struck down in February 2026. Which of the statements given above is/are correct?

  1. The IEEPA-based 'reciprocal' tariff on India was first set at 50% before being lowered to 18%, whereas the replacement tariff under Section 122 was set at 10%.
  2. Section 122 of the Trade Act of 1974 caps the temporary import surcharge at 15% and limits its duration to 150 days, a ceiling that did not apply to the IEEPA-based tariffs.
  3. It was the Section 122 tariffs, and not the IEEPA reciprocal tariffs, that the U.S. Supreme Court struck down in February 2026.
  • A. 1 and 2 only
  • B. 1 only
  • C. 2 and 3 only
  • D. 1, 2 and 3

Q4. The interim 10% U.S. import tariff applied to Indian goods effective 24 February 2026, after the earlier reciprocal tariffs were invalidated, was imposed under which legal authority?

  • A. Section 122 of the Trade Act of 1974
  • B. Section 301 of the Trade Act of 1974
  • C. The International Emergency Economic Powers Act, 1977
  • D. Section 232 of the Trade Expansion Act of 1962