Commerce ministry reviewing India-US trade relations amid Trump statements

The commerce ministry is reviewing India-US trade relations in response to comments by US President-elect Donald Trump. Trump’s statements have implications for trade dynamics between the nations. India’s trade with the US has grown significantly over the years, and the country’s exports and imports to the US have been on an upward trend.

India is setting up a framework to prioritise investments from EFTA nations, which include Switzerland, Norway, Iceland, and Liechtenstein. Norway is eager to invest in renewable energy, while Switzerland eyes the pharmaceutical sector. EFTA countries have committed $100 billion in investments over 15 years under the India-EFTA free trade agreement.

India and Italy are introducing the ‘Cotton Route’ initiative to enhance trade relations. Italy aims to become India’s third-largest trade partner in the EU. Both countries are eyeing collaboration in defence, space technology, and other emerging sectors. This initiative seeks to strengthen economic ties and improve logistics and port infrastructure to boost exports.

The Blue & Space Economy conference in Mumbai witnessed collaboration between Italian and Indian institutions, celebrating Italy’s achievements in the Space sector. Crucial discussions emphasised bilateral cooperation and integrating digital technologies into new space programs. Maritime sector talks highlighted Leonardo’s contributions to sustainable and secure seas through technology and Indian partnerships.

US President-elect Donald Trump’s threat to impose 100% customs duties on BRICS countries if they replace the US dollar is deemed unrealistic by think tank GTRI. They suggest India should focus on developing a local currency trading system. Such tariffs would harm American consumers, disrupt global trade, and provoke retaliation from trading partners.

In these turbulent times, India and France are looking to ramp up economic ties, focusing on sectors like aeronautics, transport, energy, and tech. French Foreign Trade Minister Sophie Primas highlighted significant potential for growth, emphasizing trusted partnerships, and ongoing negotiations for a mutually beneficial EU-India free trade deal.

Kazakhstan under its ‘Kazakhstan Born Bold’ campaign seeks to attract Indian investments by promoting a dynamic business environment and offering incentives like import duty exemption and subsidies. The campaign targets key sectors such as food processing, pharmaceuticals, and ICT, aiming to make Kazakhstan a primary hub for investment and innovation in Central Asia.