Donald Trump is confident that Washington and New Delhi will reach a trade agreement soon. Contact The US President, whom Prime Minister Narendra Modi described as a “good friend”, highlighted what he described as a reversal in trade dynamics between the two countries.
“For years, India has taken advantage of the United States,” Trump said on Thursday. “They accused us Huge tariffs and you pay nothing. “Now it’s just the opposite, and we’re making a lot of money with India.”
“But we will come to an agreement because I love your prime minister [Narendra Modi] a lot. He’s a good friend of mine, and we get along well. “We have a good relationship,” Trump said.
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His remarks came as India and the United States renewed their efforts to finalize a bilateral trade agreement after fresh talks in New Delhi. A The four-day visit by United States Trade Representative (USTR) officials from June 1-4 helped move trade discussions forward, according to a government statement.
Officials from both sides held talks on a range of issues, including market access, non-tariff barriers, customs procedures, trade facilitation measures and economic security cooperation.
The United States this week accused 60 economies, including India, of failing to effectively limit imports made through forced labor. This could lead to commercial actions.
India is among 54 economies identified by Washington, along with countries such as Australia, China, Japan, Saudi Arabia, Singapore, the United Kingdom and the United Arab Emirates.
“The failure of our most important trading partners to address the importation of goods made with forced labor is unacceptable,” said USTR Ambassador Jamison Greer. “This creates a dynamic in which American workers are forced to compete globally on an unlevel playing field.”
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Russian oil concession under review
Trade talks between India and the United States are taking place at a time when Washington is reviewing an exemption that would allow countries, including India, to buy Russian oil. US Secretary of State Marco Rubio told Congress that the exemption was supposed to be temporary.
“We would like to end the matter as soon as possible because the basic policy of this country is to impose sanctions on its oil. These are time-limited waivers for the purpose of opening up more global supplies,” Rubio said on Wednesday.
The exemption was introduced in March and has been extended twice, and is set to expire on June 17. Rubio said any decision on whether to extend it further would be made by the US Treasury.
The exemption was granted to mitigate disruptions to global energy supplies caused by the US-Israeli war in West Asia and restrictions around the Strait of Hormuz. India resumed purchasing Russian oil under the exemption after energy supplies from the Gulf region were affected.
Read also | The US proposes to impose tariffs on India and 59 other countries over forced labor import restrictions
India’s oil imports and the tariff dispute
Russian oil purchases have also featured in trade discussions between New Delhi and Washington.
Earlier, Trump imposed an additional 25% tariff on Indian imports, accusing India of helping to finance Russia’s war in Ukraine through its oil purchases. The tariff was later removed after India pledged to stop imports of Russian oil, according to a White House fact sheet.
The White House document stated, “President Trump agreed to cancel the additional 25% tariff on imports from India in recognition of India’s commitment to stop purchasing Russian oil. Accordingly, the President signed an executive order last Friday to cancel that additional 25% tariff.”
