India and UK negotiate last-minute issues delaying CETA implementation
India and the UK are trying to sort out some last-minute hiccups before their big trade agreement (CETA) can actually kick in.
Talks in London are focusing on two tricky issues: the U.K.'s new limits on how much steel India can sell tariff-free and a new "carbon tax" plan that could make Indian exports like steel and cement pricier.
Commerce Secretary Rajesh Agrawal shared that both sides are working to find a middle ground.
UK cuts tariff-free steel quota 60%
Starting July 2026, the UK will slash tariff-free quotas for steel by 60%, and anything extra faces a hefty 50% tax.
Plus, from 2027, the U.K.'s Carbon Border Adjustment Mechanism could add up to a 24% tax on carbon-heavy goods, meaning Indian exporters might have to rethink their game plan.
Meanwhile, India is also talking with the EU about possible sanctions linked to Russia, which could affect some Indian companies too.