The India–US trade talks have moved closer to a conclusion as negotiators from both sides have begun working towards a common goal of synergy. However, a final announcement will require “political convergence,” a senior government official said to the Indian Express.
Commerce Minister Piyush Goyal, speaking at a conference in Berlin on Friday, said that India does not enter into deals with a deadline or with a “gun to the head.” He described the negotiations as a process through which India will assess the long-term implications and ensure that any agreement safeguards the national interest of a country with a young and aspirational population.
The trade discussions over oil and agriculture.
According to a report by The Indian Express, the negotiations between India and the United States are progressing positively. Negotiators from both sides are engaging constructively, although the deals are yet to be announced at the political level.
The agreements between the two nations will not take the form of conventional free trade agreements (FTAs). These will differ from traditional FTAs because they involve reciprocal tariffs that are not based on the World Trade Organization’s Most Favoured Nation (MFN) principle. Normally, trade deals are negotiated on an MFN-versus-MFN basis; in this context, however, the arrangement will be of a different kind.
As the United States has been adding more and more items under the Section 232 tariff list, an official said, “In some of these areas, our efforts will be to address them.”
When panelists suggested that India was being asked to reconsider its friendship with Russia, Commerce Minister Piyush Goyal responded, “I do not think India has ever decided who its friends will be based on any considerations other than national interest… and if somebody tells me you can’t be friends with the EU, I won’t accept that, or if somebody tells me tomorrow I can’t work with Kenya, it’s not acceptable.”
He further noted that the decision to buy a particular product from a country is something the entire world must consider collectively. “I was reading in today’s paper that Germany is asking for an exemption from US sanctions on oil… The UK has already secured, or probably obtained, an exemption for procuring oil from the US… so then why single out India?” he asked.
These remarks come after the United States imposed additional tariffs on India over its import of Russian oil. On October 22, the US also imposed sanctions on Russia’s two largest crude oil producers—Rosneft and Lukoil—barring all American entities and individuals from conducting business with them.
India and the US have been negotiating a bilateral trade agreement since March this year. So far, five rounds of talks have been completed. On Thursday, Goyal stated that the negotiations are progressing well and expressed hope that both sides will work toward a fair and equitable agreement in the near future.
Also Read: ‘We Can Get This Worked Out’: Trump Adviser Optimistic on US-China Trade Talks
