India Seeks Swift Trade Agreement With US After Tariff Pause

Photo: ANI

India-West News Desk

NEW DELHI — India is eager to expedite negotiations for a trade deal with the United States, according to a government official, following President Donald Trump’s decision on April 10 to suspend reciprocal tariffs on multiple countries while raising levies on China.

India and the U.S. agreed in February to work towards completing the first phase of a trade deal by the end of this year, with the goal of achieving $500 billion in two-way trade by 2030.

“India is one of the first countries to initiate talks on this deal with the United States and to set a joint deadline for its conclusion,” the official told Reuters.

India made common cause  with the US when it highlighted that manufacturers in both countries have been adversely affected by China’s unfair trade practices over the years.

India will increase scrutiny on imports to identify any potential dumping of goods, including from China, the official added.

The suspension of additional tariffs is particularly beneficial for Indian shrimp exporters, who have faced a competitive disadvantage compared to countries like Ecuador, the official said. Other sectors impacted by U.S. tariffs include electronics products (worth nearly $14 billion) and gems and jewelry (worth over $9 billion).

Ajay Sahai, Director General of the Federation of Indian Export Organisations, which represents more than 37,000 exporters, stated that the 90-day pause allows Indian negotiators time to finalize a bilateral trade agreement with the U.S.

“The U.S. appears determined to strike hard at China, and if it wants to ensure a steady supply of goods to its consumers while keeping inflation in check, India remains one of the most reliable suppliers,” Sahai told Reuters.