US-India Trade Negotiations
The US Ambassador designate to India, Sergio Gor, announced the resumption of discussions between New Delhi and Washington regarding a proposed trade pact. This follows complaints from the Trump administration about delays by India in concluding the deal.
Significance of US-India Ties
- Gor described bilateral relations as the most “consequential global partnership of this century.”
- The relationship is considered to be anchored beyond disputes over tariffs and market access.
- Gor emphasized the strong personal rapport between President Trump and Prime Minister Modi.
Trade Deal Negotiations
- Both countries are engaged in protracted negotiations, focusing on:
- A framework trade deal to address high tariffs imposed by the US.
- A comprehensive Bilateral Trade Agreement.
- The US has imposed 50% tariffs on India, including 25% penal tariffs on Russian fuel purchases.
- The goal is to more than double bilateral trade to $500 billion by 2030 from the current $191 billion.
- In FY25, the US was India’s largest trading partner with bilateral trade worth $131.84 billion.
Broader Partnership
- The partnership also includes areas such as:
- Security
- Counterterrorism
- Energy
- Technology
- Education
- Health
Strategic Initiatives
- Gor highlighted India's importance to Washington's global strategy.
- India will be invited to join Pax Silica, a US-led strategic initiative for a secure, prosperous silicon supply chain.
Diplomatic Engagements
- Gor is expected to present his credentials to President Droupadi Murmu.
- He conveyed greetings from President Trump and expressed hopes for Trump's visit to India.
