India-US trade deal could be signed in 3-4 months: US official says ‘Only one big step left’ | Read here | Today’s news
India-US trade deal talks have entered the final phase, with a senior US official saying the deal could be signed in the next three to four months.
Washington and New Delhi are working on a trade deal to lower trade barriers and open up more business opportunities for companies in both countries.
“Only a Section 301 commercial investigation remains”
“The deal … is here. We literally have the paper,” the official told Reuters on condition of anonymity.
The only important step remaining, the official said, is for Washington to complete its Section 301 trade investigations, which look into alleged unfair trade practices and could lead to tariffs or other retaliation.
One Section 301 probe covering 60 countries is expected to be concluded this week or next, the official said. Once this and other ongoing investigations are completed, “we will start to see progress not only in India but elsewhere,” the official added.
Asked when the deal might be done, the official said: “Maybe three, four more months.”
“Agreement would be beneficial for both nations”
Last month, US Ambassador to India Sergio Gore, in a similar note, said the deal was in its final stages. “Most of this deal is done. There are a few items left on both sides. It’s the last 1 percent of this deal.”
The US envoy to India was upbeat about the bilateral relationship, citing the personal equation between US President Donald Trump and Prime Minister Narendra Modi that has guided relations.
He also noted that it would be beneficial for both nations and that it would be sealed after nearly 18 months of negotiations.
“People ask: Why is it taking so long? We’ve been in for a year and a half. To put that in perspective, the European trade deal took 20 years. So regardless, as long as we beat the European deal, I think we’re in good shape. But I’m determined to see it through,” he said.
Trump’s new tariff
Wednesday’s development comes a day after Washington proposed new tariffs of up to 12.5% on dozens of countries, including India, over allegations they have failed to curb trade in goods made with forced labour.
Separately, US President Donald Trump said on Tuesday that generic drugs imported into the United States would remain duty-free for two years from August 1 before facing tariffs of 100% for one year and 200% thereafter, a move that could affect India’s pharmaceutical industry.
India, the largest exporter of generic drugs to the US, will be heavily affected by the move.
