Latest news with #US-Indian
Time of India
17 hours ago
- Business
- Time of India
Before the clock runs out: India, US race to seal trade deal before Donald Trump's tariffs kick in; top things to expect
India-US trade deal: Currently, India's main trade representative is conducting negotiations in Washington. (AI image) India-US trade deal: The United States and India appear to be in the final stages of discussions to finalise the first-cut of the US-Indian trade deal. With US President Donald Trump's July deadline looming, the trade deal could determine the trajectory of their economic relationship, according to the Global Trade and Research Initiative (GTRI). Currently, India's main trade representative is conducting negotiations in Washington, whilst both nations strive to achieve a limited arrangement -- commonly known as a "mini-deal" -- before the deadline expires. The timeframe corresponds to President Trump's 90-day suspension of nation-specific tariffs, declared on April 2. Should negotiations fail to conclude by July 8, India might encounter renewed tariff pressures, although analysts suggest substantial duties are improbable. India-US Trade Deal: What To Expect The final result could be a reduced-scope trade arrangement, structured similarly to the US-UK compact finalised in May, GTRI said according to an ANI report. This framework would require India to lower Most Favoured Nation (MFN) duties on various industrial products, including automobiles, which has been a persistent request from Washington, GTRI said. Regarding agricultural commerce, India might grant restricted entry for American products including ethanol, almonds, apples, avocados, wine, and spirits through modest duty reductions and tariff-rate quotas, the GTRI report said. India aims to safeguard crucial sectors including dairy, rice and wheat sectors, considering their vital role in rural sustenance and food security for its population. The agreement could include strategic arrangements involving substantial procurement of American oil, LNG, commercial aircraft and nuclear power equipment. The negotiations might require India to relax regulations concerning multi-brand retail and remanufactured goods importation, potentially creating opportunities for international retail corporations, the report said. As a concession, the United States would likely maintain a 10% baseline tariff on most Indian exports, rather than implementing the previously announced 26% increase, GTRI said. Nevertheless, the US position on maintaining its existing MFN tariffs on Indian goods raises questions about equitable treatment and mutual benefits. Also Read | 'Like H-1B without a lottery': What is O-1 visa? New route to US becomes popular among Indians; check details India-US Trade Deal Hurdles: The negotiations could potentially break down if the United States persists in demanding extensive access to India's fundamental agricultural sector or continues to advocate for GMO product allowances. India has explicitly declared that these requirements pose risks to food security and impact the sustenance of more than 700 million individuals within the nation's agricultural economy. Although agricultural products constitute a minor share of American exports to India, the US administration continues to press strongly for enhanced market accessibility. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Livguard Lithium-X: The Future of Power Backup Livguard Learn More Undo Experts in India are concerned that any concessions might pave the way for subsequent requests that could undermine the country's established public procurement framework and the minimum support price (MSP) mechanism, which are vital components of its agricultural policies. Also Read | China plays hardball! After choking rare earth magnets supply, China blocks important agriculture-related shipments to India; continues exports to others Should the discussions fail to progress, there remains uncertainty about whether President Trump would reinstate the previous 26% duties. Trade specialists consider this scenario unlikely, noting that India was not a primary target in the initial tariff directive. Nevertheless, considering Trump's unconventional policy decisions, all possibilities remain open. Irrespective of how negotiations conclude, trade authorities advise that India should maintain its position and advocate for an agreement based on mutual benefit, equilibrium and clarity. GTRI emphasises "Any trade deal with the US must not be politically driven or one-sided; it must protect our farmers, our digital ecosystem, and our sovereign regulatory space." Today, President Donald Trump indicated that a significant trade agreement with India is on the horizon. "We're not going to make deals with everybody. Some we are just going to send them a letter, say thank you very much. You are to pay 25, 35, 45 per cent. That's the easy way to do it, and my people don't want to do it that way. They want to do some of it, but they want to make more deals than I would do," he said." "But we're having some great deals. We have one coming up, maybe with India. Very big one. Where we're going to open up India, in the China deal, we're starting to open up China. Things that never really could have happened, and the relationship with every country has been very good" he added. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Time of India
01-05-2025
- Business
- Time of India
US clears $131 million sale of defence software, equipment to India
NEW DELHI: Trump administration has approved the proposed sale of Indo-Pacific maritime domain awareness related software and equipment worth $131 million to India. Given its increasing role in the crucial Indo-Pacific region, India had recently requested the US for purchase of the SeaVision software , technical assistance field team training, remote software and analytic support, and other related elements of logistics and programme support. Tired of too many ads? go ad free now "This proposed sale will support the foreign policy and national security objectives of the US by helping to strengthen the US-Indian strategic relationship and to improve the security of a major defence partner which continues to be an important force for political stability, peace, and economic progress in the Indo-Pacific and South Asia regions," the US defence security cooperation agency said in a notification to US Congress. The proposed sale will improve India's capability to meet current and future threats by bolstering its maritime domain awareness, analytical capabilities, and strategic posture, the agency added.
South China Morning Post
20-03-2025
- Business
- South China Morning Post
How ‘America first' is bringing India and China closer together
On a recent episode of the Lex Fridman podcast, Indian Prime Minister Narendra Modi extensively discussed relations with China, emphasising that stable and cooperative ties can only be established through dialogue. This ice-breaking statement garnered praise from a Chinese foreign ministry spokesperson, likely signalling a new phase in bilateral engagement between the two Asian giants Advertisement Why has the China-India relationship suddenly shifted? What lies ahead? The key reason for this development is New Delhi's realisation that maintaining a cold war with Beijing is increasingly costly. More importantly, given that last October, the two sides held their first formal bilateral dialogue since the 2020 Galwan incident , economic cooperation could soon take diplomatic precedence over the border dispute. It is clear that US-Indian dynamics play a significant role in shaping Sino-Indian ties. The advent of Trump 2.0 marks a period of deep readjustment in US-India relations, which inevitably influences India's approach to China. While India and the United States are often described as 'natural partners', Modi's February visit to Washington revealed that US-Indian cooperation is driven by more complex realpolitik considerations. The contrasts between former US president Joe Biden' s emphasis on multilateralism and Trump's 'America first' approach are too significant for India to ignore. The Biden administration viewed India as a key ally in ' friendshoring ', offering strategic support without expecting immediate reciprocity. In contrast, Donald Trump's administration pursues a more transactional approach. Thus, India is now motivated to prepare for the worst-case scenario, mitigating Trump-related risks by seeking reconciliation with China. Advertisement Recent interactions show that while India may gain face, the US expects tangible substance. Modi's US visit led to a new high-profile initiative for military, technology and industrial collaboration. While that might look prestigious to Modi's government and the Indian public, there is a notable lack of defined implementation timelines. For the US, such an arrangement incurs minimal upfront costs and little concern that India will quickly achieve a China-style economic catch-up.
