'Red lines must be respected': Jaishankar on US-India trade talks
What's the story
External Affairs Minister S Jaishankar has stressed the importance of respecting India's "red lines" in any potential trade agreement with the United States. Speaking at the Kautilya Economic Enclave, he acknowledged existing issues between India and the US, particularly over tariffs. "We have today issues with the United States," he said, adding that these stem from not finding a common ground for trade talks.
Tariff criticism
Jaishankar slams US for unfair tariffs on India
Jaishankar also slammed the US for imposing "unfair tariffs" on India. He said one of these tariffs was imposed on India's energy sourcing from Russia, despite other countries also having done so, while having "more antagonistic" relations with Russia, but not facing similar scrutiny. The minister stressed that a trade understanding with the US is essential, given its status as the world's largest market, and that many countries have reached such understandings.
Negotiation commitment
India committed to finding common ground in trade talks
Jaishankar reiterated India's commitment to finding a common ground in trade talks, which have been ongoing since March. He said that despite the strain in relations, many aspects of engagement between India and the US continue as usual or even improve. "There are problems...nobody is in denial of it," he said, adding that these issues need to be negotiated and resolved.
Historical context
US-India trade relationship strained since Trump presidency
The US-India trade relationship has been strained since President Donald Trump significantly increased tariffs on Indian goods to a hefty 50%. This figure includes the additional 25% duty imposed on India due to its purchase of Russian crude oil. India had then described the US action as "unfair, unjustified, and unreasonable."