US-India Trade Talks Postponed, Adding to Trade Deal Uncertainties

NEW DELHI: The anticipated bilateral trade deal between the US and India faces new uncertainties as the Trump administration has postponed the officials' meeting originally scheduled to start from August 25. No new date has been communicated to Indian authorities, leaving the proposed trade deal's future in doubt.

Sources reveal that while a formal communication is yet to be received, the postponement has been verbally communicated. This development complicates matters further, especially with President Trump's deadline of August 27 looming, which could see tariffs on Indian exports to the US doubling to 50%.

Trump's Tariff Strategy and Its Implications

The US president has already imposed a 25% tariff on Indian exports, higher than those on rival countries, and has proposed secondary sanctions that could escalate tariffs to 50%. These measures are cited as responses to India's purchases of arms and oil from Russia.

Amidst these tensions, there's a glimmer of hope for New Delhi as Trump's recent alignment with Russian President Vladimir Putin on a Ukraine peace deal may influence the US's stance on additional tariffs. However, the outcome remains uncertain, with Trump indicating a wait-and-see approach before implementing secondary tariffs on other countries, including China.

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