Interim trade pact with US in sight; agri, auto sectors sticking points

At WTO, India proposes retaliatory duties against US implicit car tariffs

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Indian negotiators are optimistic astir finalising an interim commercialized statement with the US good earlier President Donald Trump’s July 9 deadline, with officials assured of protecting cardinal home sectors similar agriculture and dairy — areas wherever the US has been pushing for greater access.

The Indian team, led by main negotiator Rajesh Agarwal, returned from Washington today, with sources saying that a woody was apt to beryllium sealed earlier July 9, erstwhile Trump’s 90-day cooling-off play connected 26 per cent reciprocal tariffs expires.

“Certain issues successful agriculture and car sectors stay unresolved, but discussions volition continue,” an authoritative said. While India has ruled retired tariff cuts connected genetically modified US crops similar corn, soybean, rice, and wheat, it whitethorn see concessions connected items specified arsenic walnuts and definite fruits, officials person said.

The US has been pressing for little tariffs connected dairy products, apples and GM crops, but India has truthful acold resisted opening its dairy assemblage successful immoderate commercialized pact, fixed its governmental and economical sensitivity.

Meanwhile, India has notified the World Trade Organisation (WTO) of its program to enforce retaliatory tariffs connected prime US goods successful effect to America’s 25 per cent work connected Indian car parts, imposed nether safeguard measures. A WTO papers stated that India’s projected countermeasures would impact higher tariffs connected circumstantial US products.

The US had imposed the further tariffs connected Indian rider vehicles, airy trucks and definite car parts successful March, with the measures taking effect from May 3, 2025, for an indefinite period. India has besides reserved the close to retaliate against US alloy and aluminum tariffs, signalling a cautious yet steadfast stance successful ongoing commercialized negotiations.