India wants lower tariffs in US trade deal; hopes to sign 1st phase before July 24
India is pushing for lower tariffs and better market access as part of its proposed trade agreement with the United States, Commerce and Industry Minister
India is pushing for lower tariffs and better market access as part of its proposed trade agreement with the United States, Commerce and Industry Minister Piyush Goyal said on Monday, while expressing hope that the first phase of the pact could be signed before July 24. Speaking at a media conclave in New Delhi, Goyal said negotiations with the US are taking longer than expected because of tariff-related issues, but both sides remain engaged in discussions. Read Full Story "I will be the happiest person if the first tranche of the trade deal with the US is signed before July 24," Goyal said, according to Reuters. WHY THE DEAL IS TAKING TIME Goyal said the trade pact has taken longer to finalise because of the 50% tariff that was initially imposed on Indian goods.
The minister noted that India is seeking preferential tariffs under the agreement. In simple terms, this would mean lower duties and easier access for Indian products and services in the US market, helping exporters become more competitive. The proposed deal is also expected to include rules of origin provisions, which determine where products are manufactured and whether they qualify for trade benefits, as well as measures aimed at boosting investment flows between the two countries. INDIA WANTS TO PROTECT KEY SECTORS While India is keen to expand trade with the United States, Goyal stressed that the government will protect the interests of sensitive sectors such as agriculture, fisheries and dairy. The minister said the interests of farmers, fishermen and the dairy industry remain a key consideration in the negotiations. These sectors have traditionally been among the most closely guarded areas in India's trade talks, with New Delhi often taking a cautious approach to opening them up to foreign competition.
MORE THAN JUST TRADE Goyal said India and the United States are not only discussing tariffs and market access but are also working to deepen cooperation in strategic areas. According to the minister, both countries are seriously engaged in expanding cooperation in defence, critical minerals and investment. The comments come as India and the US continue to strengthen economic and strategic ties amid growing geopolitical competition and efforts to diversify global supply chains. SERVICES SECTOR COULD BE A BIG WINNER The minister also said India expects trade agreements with both the United States and the European Union to create new opportunities for the country's services sector. India is one of the world's largest exporters of services, including information technology, consulting, engineering and business process management. Greater market access for Indian professionals and companies in these sectors could become one of the biggest gains from future trade agreements.
The BriefWire