Top U.S. Trade Negotiator Heads to India Amid Warming Ties with Trump Governance
New Delhi - The chief U.S. negotiator for trade talks with India is en route to New Delhi,signaling a potential resumption of discussions following a recent thaw in relations between former President Donald Trump and Prime Minister Narendra Modi. The visit comes as both nations navigate complex geopolitical shifts and ongoing trade disputes.
The move follows a period of strained trade relations,marked by U.S.tariffs on certain Indian goods. These tariffs were initially imposed citing concerns over trade imbalances and, more recently, the slow pace of negotiations for an interim trade deal. In August, India’s exports to the U.S. fell to $6.86 billion from $8.01 billion in July,with the full impact of the higher tariffs expected to be clearer in the coming month.
Negotiations, which began in march-April, have stalled over key sticking points, particularly U.S. demands for greater access to India’s agricultural and dairy sectors. Prime Minister Modi has publicly stated his commitment to protecting the interests of Indian farmers, establishing a clear ”red line” in the talks. The original goal of finalizing a pact by September has shifted, with a new target of completing a first stage of the agreement by October-November.
The change in tone from the U.S. comes after an apparent rapport developed between Trump and Modi on social media. Trump has since downplayed the Russia-Ukraine war as “more of a Europe problem” and urged the European Union to impose tariffs on China, while his administration officials have offered mixed signals.
Simultaneously, the U.S. is engaged in renewed trade talks with China,currently underway in Madrid,Spain. Key issues on the agenda include potential tariffs on Chinese goods and the future of TikTok, with the U.S. seeking a sale to a non-Chinese owner or a potential ban by September 17.