India's foreign minister Subrahmanyam Jaishankar confirmed on Saturday that talks with the US are still moving forward, even as new tariffs of up to 50% threaten to hit Indian exports.
Earlier this month, Washington slapped a 25% levy on certain goods due to India’s increased Russian oil purchases. A second 25% tariff is set to kick in on August 27, marking one of the highest levies imposed in recent years.
A planned visit by US trade negotiators to New Delhi from August 25 to 29 was abruptly canceled, dimming hopes for tariff relief or delays. Shortly after, US President Donald Trump nominated 38-year-old aide Sergio Gor as the next ambassador to India and special envoy for South and Central Asia, signaling a shift in diplomatic strategy.
Trade talks hit a wall earlier this year when India resisted opening its vast agricultural and dairy sectors. Bilateral trade between the world's largest and fifth-largest economies stands at over $190 billion.
Analysts at Capital Economics warn that if the full tariffs remain, India's growth could take a 0.8 percentage point hit in both 2021 and 2022. Jaishankar described Trump's public policy style as 'unusual', noting that India's oil imports had not surfaced in earlier private discussions.
As global supply chains and emerging markets brace for impact, businesses and young entrepreneurs are watching closely. Will India push for market access, or will diversification become the new mantra? The stakes are high for a digital-savvy generation shaping the future of global trade.
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India says U.S. trade negotiations still ongoing as fresh tariffs loom
cgtn.com
