India, U.S. Likely to Sign First Phase of Trade Deal by Mid-July, Goyal Says
Visakhapatnam — Commerce Minister Piyush Goyal said India and the United States are likely to sign the first phase of a bilateral trade agreement by the middle of July.
“We had excellent discussions from June 2-4 this month. We had a full team of officials from different divisions of trade from the US in New Delhi. I also met them yesterday. We are fast-moving towards closing all the open ends. Sometime by the middle of next month or so, we should be in a position to execute a very vibrant first tranche of the bilateral trade agreement,” Goyal told journalists.
“It will give preferential access to India over our competitors. I expect a higher level delegation by the end of this month,” he said.
Goyal’s comments came a day after U.S. President Donald Trump said India and the United States would finalize a trade agreement.
Speaking to reporters at the White House, Trump said: “For years, India took advantage of the United States… But we will get to a deal…I like your Prime Minister a lot. He is a good friend of mine, and we get along well. We have a good relationship.”
The Commerce Ministry said India remains engaged with the United States on Section 301 proceedings announced by Washington while also holding parallel talks to finalize a framework agreement on bilateral trade. The framework was announced on Feb. 2 and followed by a joint statement on Feb. 7.
The ministry said the United States Trade Representative has completed investigations involving 60 economies, including India, over measures those economies have taken to prevent the import of goods. As a result, the USTR has proposed additional tariffs on imports from those economies under Section 301 of the U.S. Trade Act of 1974.
Products covered under Section 232 tariffs and certain other goods are excluded from the proposed tariffs. A special mechanism has also been proposed for textile and apparel products, which could allow a certain volume of imports from selected economies to enter the United States at lower tariff rates.
The proposed tariffs are not final. Stakeholders can submit requests to participate in public hearings by June 22, while written comments can be submitted until July 6. Public hearings are scheduled for July 7. The USTR will review comments and testimony before making a final decision.
The Feb. 7 India-U.S. joint statement established the framework for an interim trade agreement aimed at achieving mutually beneficial and reciprocal trade, while committing both countries to broader bilateral trade agreement negotiations.
U.S. Ambassador to India Sergio Gor recently said the United States is looking forward to completing details of a new trade agreement with India that would expand market access, reduce barriers and create greater certainty for businesses in both countries. (Source: IANS)
