Will a bilateral trade deal between India and the US help against reciprocal tariffs?

Sources suspended hopes for the ongoing negotiations of a bilateral trade agreement that will keep India outside the mutual definitions that the United States plans to impose as of April 2.

According to many sources of industry, Indian exporters hope that negotiations and promise will help the definitions of American imports to escape from the mutual tariff threatened by US president Donald Trump with import tax to the United States.

Most local exporters also showed support to reduce tariffs in addition to zero of the zero tariff strategy as part of the bilateral trade agreement discussions. Under zero of the zero tariff strategy, countries determine specific products and withdraw the customs tariffs on them.

Recently, the Indian Textile Industry Federation (CITI) suggested zero to a zero tariff agreement with the United States in the textile and clothing sector.

According to the sources, this is one of the issues that can be discussed at the Ministry of Commerce meeting with export promotion councils on Thursday. The Minister of Trade and Industry, Bush Joyal, who recently returned from a trip to Washington to discuss the bilateral trade agreement, will attend the meeting with export promotion councils.

The sources indicated that this is a regular meeting of the Ministry of Trade to review the issues faced by exporters and strategies to enhance exports. According to the sources, the government can also consider providing more incentives for exporters to help them join the current environment of global doubts amid a potential tariff war.

During his visit to the United States last week, Joyl met the US Trade Representative (USTR) Jameson Jarir and US Trade Minister Howard Lootnick to start discussions on the proposed bilateral trade agreement. India and the United States agreed to double bilateral trade to $ 500 billion by 2030 and negotiate the first phase of the Bilateral Trade Agreement by the fall of 2025.

Although GOYAL may visit the United States again, the Ministry of Trade is also holding talks with stakeholders and across sectors to understand the areas and products in which India can offer a less tariff for the United States as part of the commercial deal.