Exclusive — India Hopes for Imminent US Trade Deal, Minister Tells Newsweek
Newsweek AI is in beta. Translations may contain inaccuracies—please refer to the original content.
India is hopeful of reaching a trade deal with U.S. President Donald Trump's administration very soon, Indian foreign minister Subrahmanyam Jaishankar told Newsweek in an interview.
Trump has set a July 9 deadline for imposing reciprocal tariffs, but trade talks have run into obstacles including discussions over duties on farm goods, steel and car parts. Trump has voiced optimism for a deal with India, an increasingly important diplomatic partner as well as being the world's most populous country and a Top Five global economy.
"We are in the middle, hopefully more than the middle, of a very intricate trade negotiation. Obviously, my hope would be that we bring it to a successful conclusion, I cannot guarantee, because there's another party to that discussion, but no question," Jaishankar said at Newsweek's office.
"I believe it's possible, and I think we'll have to watch this space for the next few days," he said.
Left to right, Dr. Subrahmanyam Jaishankar, Indian minister of external affairs, and Dev Pragad, Newsweek CEO, speak onstage during a Newsweek Exclusive Fireside Chat With Indian Minister Of External Affairs, at 1 World Trade Center...
Left to right, Dr. Subrahmanyam Jaishankar, Indian minister of external affairs, and Dev Pragad, Newsweek CEO, speak onstage during a Newsweek Exclusive Fireside Chat With Indian Minister Of External Affairs, at 1 World Trade Center on June 30 in New York City. Morefor Newsweek
White House Press Secretary Karoline Leavitt told a news briefing on Monday that "they are finalizing these agreements."
Trump has had a friendly relationship with Indian Prime Minister Narendra Modi and Jaishankar also underlined the importance of the ties between the countries within the Quad of countries that serve as a counterweight to China in Asia and the Pacific. The other members are Japan and Australia.
"You have four countries, in a way, four corners of the Indo-Pacific who are actually to have decided that they have a shared interest in creating a stable or more prosperous Indo-Pacific and are willing to work in a very practical basis," he said, adding that India wanted to stay on good terms with neighboring China.
"We have very strong convergences with the United States. At the same time, we are China's largest neighbor," he said.
Jaishankar was speaking nearly two months after the most serious conflict in decades between India and nuclear rival Pakistan, with India striking what it called terrorist targets across the border after an attack on civilians in Kashmir left 26 people dead.
Rejects Pakistan Talks
He rejected an offer of talks with Pakistan on anything except ending terrorism and said India would strike again if needed.
"We are now moving to a policy of no impunity. We will not accept that the terrorists are proxies and somehow, therefore, the state is not culpable. I mean, we think it's very clear the Pakistani state is up to its eyeballs in this one," Jaishankar said at Newsweek's office in New York.
"I think we will strike at terrorists. We will protect. We will exercise the right to defend our people. And I think that message has been made pretty clear."
Pakistani Prime Minister Shehbaz Sharif expressed his readiness for peace talks last week, saying they could address a wide range of disputes between the countries. Pakistan denies supporting cross-border terrorists.
"We are willing to hold talks on terror, but if there is an expectation that we will talk about other things while they continue their terrorism, I think that's, you know, that's not realistic," Jaishankar said.
"Terrorism cannot be a diplomatic tactic of putting a neighbor under pressure, and saying, oh, OK, come and talk to me. You cannot be a good neighbor and be a terrorist at the same time. So, they have to end that terrorism."
A view of the audience during a Newsweek Exclusive Fireside Chat With Indian Minister Of External Affairs, at 1 World Trade Center on June 30 in New York City.
A view of the audience during a Newsweek Exclusive Fireside Chat With Indian Minister Of External Affairs, at 1 World Trade Center on June 30 in New York City.for Newsweek
India struck targets in Pakistan it said it had identified as terrorist bases on May 7 in response to the killing of 26 civilians in an attack on tourists at Pahalgam in Kashmir in April. Pakistan had denied any hand in the killings or other attacks in divided Kashmir, which it contests with India.
Pakistan struck back at India with cross-border shelling and warned that it could resort to nuclear weapons if it felt its existence was threatened.
"We are not going to yield to nuclear blackmail that you know there could be escalation, and therefore we should not do anything," Jaishankar said.
Iran Offer
The flare-up between India and Pakistan has been overshadowed globally by the war between Israel and Iran, with the United States also joining strikes against Tehran's nuclear program.
Jaishankar offered India's help to bring a resolution to the crisis, highlighting its good relations with all parties and the important relationships the world's most populous country had through trade and migrant workers with the countries of the Middle East.
"We have actually very good relations with both countries, both with Israel and Iran. I mean, we would be, quite honestly, one of the few who have the ability to talk to both of them very openly, very candidly. We have tried to do that for some years now," he said.
"We know the complexity of this, of this issue, it's not something which is easily amenable to a solution. So, the long answer is, we are willing to do our part, if there's any way we can be of any help to either country to others, to the IAEA, to the United States."
Left to right, Dr. Subrahmanyam Jaishankar, Indian minister of external affairs, and Dev Pragad, Newsweek CEO, speak onstage during a Newsweek Exclusive Fireside Chat With Indian Minister Of External Affairs, at 1 World Trade Center...
Left to right, Dr. Subrahmanyam Jaishankar, Indian minister of external affairs, and Dev Pragad, Newsweek CEO, speak onstage during a Newsweek Exclusive Fireside Chat With Indian Minister Of External Affairs, at 1 World Trade Center on June 30 in New York City. Morefor Newsweek
Geopolitical Shifts
Jaishankar said the United States is bringing about a global change with a shift away from alliances and in which countries pursue their own interests more individualistically.
"The change in America's stance is very fundamental to the world order," he said. "I would say, you are, you are seeing the emergence of a post-alliance thinking, it's not that the alliances are going to go away tomorrow, but the alliances are not going to be the fulcrum around which world politics revolves.
"You have the rise of China. You have the rise of India. You have Russia … So yes, I think we are heading for a much more individualistic world, in a way, where countries will pursue their interests more vigorously, not necessarily as collectively as before."
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
New York Times
5 minutes ago
- New York Times
The Senate and the Supreme Court
The Senate narrowly passed Republicans' sprawling bill to slash taxes and social safety net programs. Vice President JD Vance cast the tiebreaking vote, after three Republican senators — Susan Collins, Thom Tillis and Rand Paul — voted no. The bill extends roughly $3.8 trillion in tax cuts enacted during Trump's first term and increases funding for border security and the military. It cuts about $1.1 trillion from health care programs, mainly Medicaid, which experts estimate will cause nearly 12 million Americans to lose coverage. The bill, which could affect millions of Americans, is a major political gamble, Carl Hulse writes. The House must now decide whether to pass the Senate's version of the bill or try to reconcile it with its own. Any delays could mean that Congress misses the July 4 deadline that Trump set. The Morning's readers were interested in the bill yesterday (it was our most-clicked link). Here's more from Times reporters who were in the Capitol: In all, senators voted 49 times during a 27-hour marathon session. They wore fluffy blankets and pullover sweatshirts inside the chilly chamber. Senator Lisa Murkowski, Republican of Alaska, cast a deciding vote for the bill after winning carveouts for her state. 'Do I like this bill? No,' she told NBC News afterward. 'But I tried to take care of Alaska's interests.' Trump and Elon Musk returned to jousting on social media about the legislation. The bill's policies could inflict major financial pain on poor Americans. Republicans have insisted that the policy package will help seniors and the middle class. Here's a fact check. Covering the court The end of June is some combination of Christmas and Tax Day for Adam Liptak, who has covered the Supreme Court for The Times since 2008. That's when the justices release a dizzying array of rulings: This term's major cases, some of which were decided earlier in the year, touched on guns, porn, police tactics, religion, citizenship, L.G.B.T.Q. rights, vapes and TikTok. How the Supreme Court voted in the last two terms Last term 5-4 6-3 7-2 8-1 9-0 This term 5-4 6-3 7-2 8-1 9-0 Last term 5-4 6-3 7-2 8-1 9-0 This term 5-4 6-3 7-2 8-1 9-0 Note: Chart shows nine-person decisions that were orally argued and signed. Sources: Lee Epstein and Andrew D. Martin, Washington University in St. Louis; Michael J. Nelson, Penn State from the Supreme Court Database By The New York Times Want all of The Times? Subscribe.
Bloomberg
9 minutes ago
- Bloomberg
Trump Tax Bill Faces GOP Resistance Ahead of House Vote
President Donald Trump's multitrillion-dollar tax bill is meeting resistance in the House as Republican lawmakers threaten to defy Trump and sink his domestic agenda. Tyler Kendall reports on Bloomberg Television. (Source: Bloomberg)
Yahoo
10 minutes ago
- Yahoo
Trump keeps saying the GOP mega bill will eliminate taxes on Social Security. It does not
WASHINGTON (AP) — President Donald Trump keeps saying that Republicans' mega tax and spending cut legislation will eliminate taxes on federal Social Security benefits. It does not. At best, Donald Trump's 'no tax on Social Security' claim exaggerates the benefits to seniors if either the House or Senate-passed proposals is signed into law. Here's a look at Trump's recent statements, and what the proposals would — or would not — do. What Trump has said Trump repeatedly told voters during his 2024 campaign that he would eliminate taxes on Social Security. As his massive legislative package has moved through Congress, the Republican president has claimed that's what the bill would do. Trump said on a recent appearance on Fox News' 'Sunday Morning Futures" that the bill includes 'no tax on tips, no tax on Social Security, no tax on overtime.' A temporary tax deduction But instead of eliminating the tax, the Senate and House have each passed their own versions of a temporary tax deduction for seniors aged 65 and over, which applies to all income — not just Social Security. And it turns out not all Social Security beneficiaries will be able to claim the deduction. Those who won't be able to do so include the lowest-income seniors who already don't pay taxes on Social Security, those who choose to claim their benefits before they reach age 65 and those above a defined income threshold. The Senate proposal includes a temporary $6,000 deduction for seniors over the age of 65, contrasted with the House proposal, which includes a temporary deduction of $4,000. The Senate proposal approved Tuesday would eliminate Social Security tax liability for seniors with adjusted gross incomes of $75,000 or less or $150,000 if filing as a married couple. If passed into law, the tax deduction would last four years, from 2025 to 2029. The deductions phase out as income increases. White House touts impact Touting a new Council of Economic Advisers analysis, the White House said Tuesday that '88% of all seniors who receive Social Security — will pay NO TAX on their Social Security benefits," going on to say that the Senate proposal's $6,000 senior deduction 'is estimated to benefit 33.9 million seniors, including seniors not claiming Social Security. The deduction yields an average increase in after-tax income of $670 per senior who benefits from it.' Garrett Watson, director of policy analysis at the Tax Foundation think tank, said conflating the tax deduction with a claim that there will be no tax on Social Security could end up confusing and angering a lot of seniors who will expect to not pay taxes on their Social Security benefits. 'While the deduction does provide some relief for seniors, it's far from completely repealing the tax on their benefits,' Watson said. Economic effect The cost of actually eliminating the tax on Social Security would have massive impacts on the economy. University of Pennsylvania's Penn Wharton Budget Model estimates that eliminating income taxes on Social Security benefits 'would reduce revenues by $1.5 trillion over 10 years and increase federal debt by 7 percent by 2054" and speed up the projected depletion date of the Social Security Trust Fund from 2034 to 2032. Discussions over taxes on Social Security are just part of the overall bill, which is estimated in its Senate version to increase federal deficits over the next 10 years by nearly $3.3 trillion from 2025 to 2034, according to the Congressional Budget Office. Administration officials have said the cost of the tax bill would be offset by tariff income. Recently, the CBO separately estimated that Trump's sweeping tariff plan would cut deficits by $2.8 trillion over a 10-year period while shrinking the economy, raising the inflation rate and reducing the purchasing power of households overall.
