India Set to Renew Trade Talks with the United States

By Manoj Kumar

NEW DELHI, July 10 (Reuters) – A government official announced that a delegation from India is scheduled to visit the United States soon to engage in critical trade discussions. The focus will be on resolving ongoing issues related to tariffs on auto components, steel, and agricultural products.

Context of Ongoing Trade Negotiations

India stands as one of the few nations still pursuing a trade agreement with Washington amidst escalating trade tensions. President Donald Trump’s administration has threatened to impose significantly higher tariffs starting August 1, which has compounded the urgency of these discussions.

Recently, a team of Indian officials embarked on an extended visit to the U.S. but did not succeed in finalizing a deal. The two sides grappled with substantial differences that hindered progress.

Key Points of Contention

One of the primary sticking points is India’s reluctance to open up its agricultural and dairy sectors. In return, India is seeking more favorable tariff conditions for its exports to the U.S., especially compared to competitors like Vietnam and China.

The trade official, speaking on the condition of anonymity, confirmed, “The Indian team will visit the U.S. soon for further talks.”

The Indian Trade Ministry has not yet responded to requests for comments regarding the upcoming negotiations.

India’s Stance on Trade Agreements

Last week, India’s Trade Minister Piyush Goyal emphasized that the government would pursue trade deals strictly aligned with the country’s national interests. Furthermore, New Delhi has proposed retaliatory duties against the U.S. through the World Trade Organization, contending that Washington’s 25% tariff on automobiles and specific auto parts jeopardizes approximately $2.89 billion in Indian exports.

Looking Ahead

The official remarked, “We are actively engaging with the U.S. team through both virtual and in-person meetings.” India’s goal is to wrap up the first phase of the trade deal by this coming fall.

(Reporting by Manoj Kumar, writing by Tanvi Mehta; Editing by YP Rajesh & Shri Navaratnam)