Intellectual Property Rights (IPR) Standoff between India and the US

The United States continues to list India among jurisdictions that do not sufficiently safeguard intellectual property rights. This ongoing issue has implications for international trade relations between the two countries.

India's IPR Regime and WTO Compliance

• India maintains that its IPR laws align with World Trade Organization (WTO) standards.
• Past responses from India have defended its IPR framework against US criticisms.

Trade Negotiations and Market Access

Current negotiations focus on rebalancing trade between India and the US, with an emphasis on:

• Enhancing market access for US exports to India.
• Achieving reciprocity in tariffs to reduce India's trade surplus with the US.
• Addressing non-tariff barriers, including US concerns about India's IPR regime.

Potential Impact of US Tariffs

• India is not directly challenging US tariffs, which influences its stance on defending its IPR record.
• American imports into India are likely to focus on energy and arms, which are less entangled in IPR issues.

Politically Sensitive Sectors

Key sectors that may be affected by IPR discussions include:

• Technology, pharmaceuticals, and entertainment are critical areas for bilateral trade agreements.
• American companies have a significant stake in seeking IP protection in India.

Challenges and Opportunities

• US concerns include compliance burdens and ineffective enforcement of IPR in India.
• India has the opportunity to establish a manufacturing export base as US companies look to diversify supply chains away from China.

Strategic Advancements

India must enhance its IPR framework as part of improving the ease of doing business:

• Aligning its IPR regime with international best practices.
• Ensuring that IPR issues do not hinder investment decisions by American companies.