A Major Step Towards Stronger Economic Ties
India and the United States are close to signing a major trade agreement that could become the first new bilateral deal under President Donald Trump’s high-tariff era. Both countries have already agreed on the basic terms, and the final deal is expected to be announced soon.
The talks come at a time when many countries are facing tough trade negotiations with the US. But India stands out as a country that is easier to work with, thanks to its open trade policies and fair practices.
Why India Is a Strong Trade Partner for the US
1. Fewer Trade Barriers
One of the biggest reasons for the progress is that India has fewer trade barriers compared to other countries. According to US Treasury Secretary Scott Bessent, India doesn’t use too many non-tariff measures, and this makes the negotiation process smoother.
> “India’s trade system is cleaner. They don’t manipulate currency or provide massive subsidies to their industries,” Bessent said during the World Bank and IMF annual meetings.
2. Low Tariffs Compared to Other Nations
India also avoids imposing high tariffs on imports. This is different from many emerging economies that often protect their domestic markets with heavy duties. Because of this, India is seen as a trustworthy and cooperative partner.
3. No Currency Manipulation
The US has previously accused some countries of manipulating their currencies to make exports cheaper. However, India has maintained stable currency practices, which is seen as a sign of transparency and fairness.
What’s Happening Now in the Trade Talks
India’s Commerce Secretary in the US
To push things forward, India’s Commerce Secretary Rajesh Agrawal is in the US for a three-day visit. He is meeting with top US officials to finalize the first phase of the Bilateral Trade Agreement (BTA).
The goal is to conclude the initial stage before October. If that happens, India could become the first country to sign a new bilateral trade deal with the US under Trump’s current trade policy.
Why This Deal Matters
Boost for Businesses in Both Countries
Once the deal is signed, it will benefit companies and consumers in both nations. Indian exporters will get better access to the US market, while American businesses will find it easier to trade with India.
Positive Signal to Global Markets
This agreement could also send a strong message to the world that fair trade is still possible in today’s complex global economy. It may help improve investor confidence and support growth in both economies.
What to Expect Next
The next few weeks are expected to be critical. Trade officials from both countries will work on finalizing the legal language and clearing any remaining issues. If all goes well, the deal could be announced before October.
This agreement may become a model for future US trade deals—especially with other emerging economies.
Stay tuned to BigBreakingWire for the latest updates on global trade and economic policies.
Bringing you the latest updates on finance, economies, stocks, bonds, and more. Stay informed with timely insights.
Be First to Comment