India to US: Scrap 25% tariff or trade negotiations won’t move forward

NEW DELHI: India has made it clear to the United States that trade talks between the two countries will not move forward unless the US withdraws the 25% additional tariff imposed on Indian goods. India conveyed its stance during preliminary discussions held yesterday, ahead of the formal resumption of bilateral trade negotiations.

The talks were aimed at removing hurdles in signing a trade agreement. India pointed out that purchasing oil from Russia was necessary to meet its domestic energy needs and said that imposing extra tariffs on this ground was unfair. The entry of U.S. products into the Indian market was also part of the discussions.

The U.S. delegation, led by Chief Negotiator Brendan Lynch, met Indian officials in Delhi for a one-day discussion. The Indian side was headed by Rajesh Agarwal, Special Secretary in the Commerce Department.

The Commerce Ministry later said that both sides recognised the importance of India-U.S. bilateral trade and discussed various aspects of a possible agreement. The discussions were comprehensive and forward-looking, the ministry added. Both countries agreed to work towards finalising a mutually beneficial trade deal at the earliest. The U.S. Embassy spokesperson also expressed optimism about the talks.