India’s high commerce negotiator Rajesh Agrawal returned from Washington because the fifth spherical of Bilateral Commerce Settlement (BTA) talks with america wrapped up forward of a looming tariff deadline.
The four-day discussions, held from July 14 to 17, aimed to finalize an interim commerce deal earlier than August 1—when the U.S. is ready to reimpose Trump-era tariffs of as much as 26% on nations together with India.
Agrawal, India’s particular secretary within the commerce division, led the delegation in talks that included key sectors resembling agriculture, vehicles, and high-tech exports beneath the SCOMET (Particular Chemical substances, Organisms, Supplies, Gear, and Applied sciences) class.
India is holding agency towards U.S. stress to decrease duties on agriculture and dairy—sectors it has constantly shielded in commerce pacts. Home farming teams have additionally referred to as for agriculture to be excluded from the talks totally.
On its half, New Delhi is pushing for the rollback of the suspended 26% tariffs and in search of decrease duties on metal (presently 50%), aluminium, and vehicles (25%). India additionally desires higher U.S. market entry for its labor-intensive exports, together with textiles, gems, leather-based items, shrimp, grapes, and bananas.
The U.S., in the meantime, is demanding responsibility concessions on electrical automobiles, wines, petrochemicals, and a variety of agricultural and genetically modified merchandise.
Whereas either side intention to conclude part one of many BTA by September or October, their instant focus stays securing a “mini deal” earlier than the August 1 deadline.
Commerce between the 2 nations stays sturdy. India’s merchandise exports to the U.S. surged 22.8% to $25.51 billion in Q1 FY2025, whereas imports rose 11.68% to $12.86 billion.
