Commerce secretary-led team heads to US for trade talks

NEW DELHI: A team of Indian officials led by commerce secretary Rajesh Agarwal is once again headed to the US for talks on the proposed bilateral trade deal , amid indications that Trump administration is keen to move ahead.

Officials indicated that delegation would visit Washington this week itself as the two sides seek to thrash out a deal in a few weeks. The move comes just a day after US ambassador-designate Sergio Gor met PM Modi and held discussions with Agrawal. “During my visit to India, I met with commerce secretary Agrawal & discussed US-India economic ties, including increased investment in US,” Gor posted on X Sunday.

India wants US to drop 25% ‘secondary tariffs’

US ambassador-designate Sergio Gor’s post indicates Trump administration is also nudging Indian companies to commit to investing in the US, a move meant to strengthen the President’s claims that his tariff actions and negotiations with countries have resulted in investment commitments that add up to $17 trillion, a number that is facing scrutiny.

While some Indian IT companies are looking to set up offices and hire more locally, a handful of Indian players have invested in the US.

So far, the discussions were focused largely on India slashing import duties, including on farm products, in return for getting a favourable “reciprocal tariff” for its exports. Besides, Trump has cited India’s purchase of Russian crude to impose a crushing 50% tariff, which has hurt Indian textiles, gems and jewellery and leather and footwear players.

The 25% reciprocal tariff on India, which came after Indian negotiators held their ground on not allowing American corn and soybean and genetically modified food, is higher than several competitor countries. Govt is seeking that the 25% “secondary tariffs”, for purchase of Russian oil be dropped, while indicating that it is open to purchase more American oil and gas to help narrow the trade surplus that India currently enjoys.