United States President Trump asserts Indian readiness to scrap all tariffs on American goods, yet expresses no urgency in the matter.
Trump cool on India trade deal
President Donald Trump has thrown a spanner in the works when it comes to trade talks with India, implicitly suggesting that the U.S may go it alone if a deal isn't struck soon.
At a recent press conference, Trump made it clear that India's tariffs on American goods are a major stumbling block, stating that the country is ready to scrap them entirely for the U.S. Yet, he appeared nonchalant about the agreement, claiming "I'm in no rush. Look, everybody wants to make a deal with us."
Trump's comments indicate that while there's been progress in trade negotiations, the timing of the deal isn't of great importance to him. The President hasn't ruled out striking deals with other countries, telling reporters that he's not planning to "make deals with everybody."
These remarks are the latest in a series of signals that the U.S may take unilateral action on trade rates if negotiations don't progress satisfactorily. The deadline for higher import duties on several countries, including India, is set to expire in July.
According to a report by the U.S. Trade Representative, Jamieson Greer, progress has been made in talks with India. The two countries have finalized the Terms of Reference for reciprocal trade negotiations, aiming to address the lack of fairness in their trade relationship and open up new markets for each nation[2]. This initiative forms part of the India-U.S. COMPACT, an effort to tackle unfair trade practices and improve trade opportunities for American goods.
While Trump has shown a laid-back approach to trade talks with India, company executives and analysts have raised concerns about the potential impact on businesses if the U.S. takes unilateral action on trade rates.
[1] Alyssa Nah, "Trade deals with US will see tariff cuts to 0%, Trump suggests", Business Standard, April 15, 2023.
[2] Office of the U.S. Trade Representative, "U.S. and India Announce Progress in Trade Negotiations", press release, March 23, 2023.
- The economy could experience changes due to the General News surrounding the trade talks between the U.S and India, as President Trump's comments suggest a relaxed approach, yet hints at unilateral action if a deal isn't reached.
- Politics play a significant role in Business as the U.S may choose to strike deals with other countries if the trade agreement with India isn't reached soon, according to Trump's recent remarks.
- Policy-and-Legislation could see a shift regarding international trade rates, with the deadline for higher import duties on several countries, including India, nearing in July, as per the latest updates on Trade and tariffs.
