India, US likely to fast-track initial phase of trade pact

Indian trade negotiators will visit Washington DC this week to explore an “early tranche” of a proposed bilateral trade deal with US, which may include a limited set of mutually beneficial issues. The broader agreement spans 19 chapters, covering regulatory matters like digital tax, tariffs, and customs rules, with detailed offers to come later.

Developed nations, once critical of tariffs, are now employing them to protect domestic industries, echoing arguments previously made by developing countries. The US, for example, has imposed tariffs on steel and aluminum. This shift signals a change in global trade dynamics, with advanced economies prioritizing livelihood protection and questioning established principles like special treatment for […]

Despite a significant trade deficit, China is seeking greater economic collaboration with India, inviting more Indian goods into its market. Ambassador Xu Feihong urges India to provide a fair environment for Chinese businesses, addressing concerns over visa delays and perceived unfair treatment.

India and the US have finalised terms of reference for a proposed bilateral trade agreement, covering 19 chapters on issues like tariffs, goods, non-tariff barriers and customs facilitation, official sources said. A three-day round of talks will begin in Washington on April 23 to resolve pending issues during the 90-day tariff pause.

Prime Minister Modi’s upcoming visit to Saudi Arabia on April 22 will prioritize boosting the India-Middle East-Europe Economic Corridor (IMEC), particularly the Saudi segment. Discussions will also cover energy cooperation, increased Saudi investments in India, and regional stability amidst US-Iran peace talks. India aims for a stable West Asia to protect its energy and economic […]

India’s move to protect against substandard imports is creating supply chain risks for electronics manufacturers, potentially hindering export competitiveness. Quality control orders on base metals unintentionally affect the electronics sector, causing sourcing constraints. Industry executives are seeking exemptions for electronics products, as these require high-grade raw materials not readily available in India, potentially disrupting production […]

Prime Minister Narendra Modi is planning a Europe trip in mid-May, encompassing Croatia, Norway, and the Netherlands, as FTA negotiations intensify. The Norway leg includes the 3rd India-Nordic Summit, emphasizing renewables, high-tech, and investments. In the Netherlands, Modi will focus on high-tech collaboration, particularly semiconductors, reinforcing its role as a key economic partner.

India’s pomegranate exports to the US are gaining momentum with the first commercial sea shipment of the Bhagwa variety reaching New York. This milestone, involving 4,620 boxes from Maharashtra, is part of efforts to boost Indo-US trade, aiming for $500 billion by 2030.

India’s oilmeals exports witnessed a significant decline, dropping 21% to Rs 12,171 crore in the last fiscal year, primarily due to an 11% decrease in sales volumes. The Solvent Extractors’ Association of India reported reduced exports of rapeseed and castorseed meal as key factors.

US tariffs on Chinese imports are opening doors for Indian garment and toy exporters, potentially boosting their capacity utilization to 90-95%. American buyers are actively seeking to diversify their supply chains, leading to increased inquiries for Indian manufacturers. While this presents a significant opportunity for Indian MSMEs, capacity constraints and the need for strategic investments […]