"I am providing notice of my intent to terminate the designation of India as a beneficiary developing country under the Generalized System of Preferences (GSP) program," Trump said on Monday, RIA Novosti reported.
"I am taking this step because, after intensive engagement between the United States and the Government of India, I have determined that India has not assured the United States that it will provide equitable and reasonable access to the markets of India," he added.
The GSP allows specific products from 120 developing countries and territories to enter the United States duty-free.
India has maintained high tariffs on US goods such as flowers, natural rubber, automobiles, motorcycles, alcoholic beverages and textiles.
In a separate letter to Congress, the US president stated that Washington has also terminated Turkey's duty-free status based on its increased level of economic development.
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