India-US trade deal, Piyush Goyal, Donald Trump, Narendra Modi, preferential market access, US tariffs, bilateral trade agreement, Indian exports (Img: IANS)
Cairo/New Delhi: India has received an assurance from the United States that its goods will enjoy preferential access to the American market, with lower tariffs than those imposed on competing countries under the proposed bilateral trade agreement (BTA), Commerce and Industry Minister Piyush Goyal said on Sunday.
During his two-day visit to Egypt, Goyal told reporters that the understanding had already been reached at the leadership level between Prime Minister Narendra Modi and US President Donald Trump.
“This was already agreed between the leaders, President Trump and Prime Minister Narendra Modi, when they announced that we have both come to a broad framework agreement a few months ago, and it has been acknowledged that India will get preferential trade access in the US with lower duties than our competitor countries,” Goyal said.
The two countries finalised the framework for the first phase of their bilateral trade agreement in February, aiming to strengthen economic ties and expand market access. However, the signing of the initial tranche has been delayed as negotiations continue amid changes in Washington's tariff policy.
The latest remarks follow an assurance from a senior government official that Indian exporters would have a comparative tariff advantage over their competitors in the US market.
Both sides are working towards concluding the first tranche of the agreement by the end of the current financial year. Negotiations are also underway on the broader trade pact, with the final scope of tariff concessions yet to be determined.
Trade discussions have gained significance following the US Supreme Court's decision to strike down the reciprocal tariffs introduced by the Trump administration.
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Washington is now exploring alternative mechanisms under provisions of the Trade Act to establish a new tariff framework.
Goyal's Egypt visit is focused on expanding bilateral trade and investment ties. Meanwhile, India is pursuing trade negotiations with several major economic partners, including the United States. The proposed agreement is expected to play an important role in strengthening commercial relations between the two countries.
