Delhi is “hopeful” of reaching a trade agreement with the US before the 90-day pause on reciprocal tariffs ends on 9 July, India’s foreign minister has said.
In an interview with French daily Le Figaro on Tuesday, S Jaishankar, who is on a four-day visit to Belgium and France, said India and US had already begun trade negotiations before Trump unveiled his 2 April ‘Liberation day’ tariffs on global partners, including up to 27% on India.
“Prime Minister [Narendra] Modi met with Donald Trump in February and they decided to further open access to our respective markets,” Jaishankar told the paper.
“We are hopeful of reaching an agreement before the end of the tariff suspension on 9 July.”
Earlier in the day, a US delegation held closed-door meetings with Indian trade ministry officials in Delhi.
An unnamed Indian official told Reuters news agency that the recent set of trade talks with US officials had been productive and “helped in making progress towards crafting a mutually beneficial and balanced agreement including through achievement of early wins”.
Until recently, the US was India’s largest trading partner, with bilateral trade reaching $190bn.
India has already reduced tariffs on a range of goods - including Bourbon whiskey and motorcycles - but the US continues to run a $45bn (£33bn) trade deficit with India, which Trump is keen to reduce.
Trump and Modi have set a target to more than double this figure to $500bn, though Delhi is unlikely to offer concessions in politically sensitive sectors such as agriculture.
Earlier this month, the White House told its trade partners that the US wants them to make their best trade offers, with the deadline fast approaching, Reuters news agency reported.
Last week, US Commerce Secretary Howard Lutnick said he was “very optimistic” about a deal between India and US, which he said said would come in the “not too distant future”.
In May, Trump made global headlines by claiming that Delhi had offered to drop all tariffs on goods imported from the US. These claims were swiftly disputed by India, with the foreign minister saying that “nothing is decided till everything is”.
Jaishankar had previously emphasised that any trade deal must be mutually beneficial and work for both countries.
Speaking separately about US foreign policy under Trump, Jaishankar told Le Figaro he sees the US “looking at things from the perspective of its immediate interest and seeking benefits for itself”.
“Frankly, I will do the same with them,” Jaishankar added.
Source: BBC
-Agencies
