India, US negotiate finer points of trade deal following court ruling

In Feb, India and the US announced the finalisation of a framework for the first phase of the trade agreement

Washington

Indian Ambassador to the US Vinay Mohan Kwatra met US Trade Representative Jamieson Greer and former National Security Adviser Robert O’Brien in Washington as the two nations negotiate the finer elements of a bilateral trade agreement (BTA).

The meeting on Wednesday comes ahead of an expected visit by a delegation of Indian officials to the US to hold further discussions on the pact. “Honoured to host Ambassador Jamieson Greer and Ambassador Robert O’Brien at India House today,” Kwatra said in a post on X on Wednesday. 

Kwatra noted that they had a productive conversation on a range of bilateral cooperation opportunities and discussed important developments across the world. Kwatra appreciated their continuing support for strong India-US relations. In February, India and the US announced the finalisation of a framework for the first phase of the BTA. According to that framework, the US had agreed to reduce tariffs on India to 18%.

Bilateral trade was also part of the discussion during the recent visit of Foreign Secretary Vikram Misri to Washington last week.

On Feb 20, the US Supreme Court ruled that President Trump’s tariffs imposed under the International Emergency Economic Powers Act were unconstitutional. India and the US were initially planning to sign the trade deal in March, but changes in the tariff landscape following the court ruling have altered the situation. Sources said the deal would be signed once the new global tariff architecture of America is in place.

The trade negotiations also come amid two investigations launched by the US Trade Representative under Section 301. These investigations deal with the failure to enforce a prohibition on imports of goods produced using forced labour and over-capacity production in certain manufacturing sectors by some countries, including China and India.