India-US Trade Deal Explained: Tariff Deadline, GM Crop Disputes And What’s At Stake | World News
New Delhi: While a trade storm is brewing in Asia, India hopes to cover the full blow of America’s tariff blitzin. But behind the closed doors, the negotiations are walking a rope and the risks are great.
Although Vietnam, Laos, Myanmar and the Philippines were directly hit by sweeping US tariff increases up to 40 percent, India kept a backkannel open – trying to make an agreement that could handle exports on exports 20 percent or less.
The interviews were intense. A senior team from the new Delhi is expected to return to Washington in the coming days-the third tasks in three months. US negotiators visited India twice in this quarter. Both sides are trying to prepare a common framework that can soften the coup and leave space for more discussions.
The last date of August 1 seems big now. If negotiations fail, Indian exporters will lose 90 -day exemption windows and caught the same tariff network in most Asia.
In particular, Indian officials admit that they are under pressure. India was one of the first people targeted by Donald Trump’s commercial reset, with the United States and $ 40 billion trade surplus. Even now, it is reported that the US President is thinking about 15-20 percent blanket tariffs without preferential conditions in most countries.
A US official described the situation as a rak racing against time .. India says they can get a softer descent if they accept some difficult concessions.
But this is where things are completely blurred.
Genetically modified incompatibility seeds
At the beginning of the list, the US demands India to open its doors to genetically modified agricultural imports. The movement triggered a turmoil in Indian farm unions, academic circles and even in Parliament. Critics warn that if GM crops enter Indian markets, they can pollute domestic varieties and potentially endanger future exports to countries that prohibit genetically modified foods.
“This is a Trojan horse. When it comes, there is no return,” he said.
Milk demand violates sacred lines
The dairy problem is not less complex. American cattle are often fed by animal by -products, an application that violates Indian religious norms. Permitting such imports will exceed a deeply sensitive line that India says that it will not reconcile many times.
Expensive collateral damage
Indian manufacturers already feel a pinch. Automatic component exports, which make up about 28 percent of India’s US shipments, are now facing a 25 percent tariff.
Credit Agency ICRA estimates that it can burn 9,000 RS Crore holes in the industry alone. Then there is a 50 percent tax on Indian steel and aluminum exports and endangers a trade flow of $ 4.5 billion.
Digital glare points and data fights
Beyond the base of the factory, the digital war area is warming up. Washington wants India to relax the rules within the scope of the new Digital Personal Data Protection Law that limits open sea data transfers.
It also searches for more powerful intellectual property application and market access for multi -branded retail, which can benefit the US technology and retail giants such as Amazon and Walmart.
BRICS Factor and Political Cooling
Geopolitical Fire adds fuel to the fire. Trump clearly criticized the global southern block of India, China, Brazil, Russia and South Africa, and described it as a threat to American financial domination.
A trade agreement with India said it was “accessible, and warned extra tariffs in all BRICS countries. “This is an agreement that we cannot hurry, but we cannot afford to lose.”
Trade experts believe that both sides may agree to a “mini agreement ,, which eliminates more difficult problems for now, and a victory on the campaign to Trump.
However, while Trump’s policy mood swings like a pendulum, even the best light agreements remain uncertain until the ink is dry.
