India-US Racing Against Time for Trade Agreement

India and the United States are locked in intense negotiations aiming to finalize an interim trade deal before the impending July 9 deadline, according to sources privy to the discussions. The focus is on averting high tariffs initially imposed by the US on April 2 but suspended for 90 days by the Trump administration.

Sources revealed that the US enacted a 26 percent reciprocal tariff on Indian products, with India seeking full exemption from this levy. As negotiations proceed, sectors like agriculture and dairy remain contentious for India, as the US pushes for duty reductions on a range of industrial goods and agricultural items.

Meanwhile, India seeks tariff concessions for its labor-intensive industries. Talks will be ongoing both in-person and digitally, with possibilities of an Indian delegation visiting Washington before the fall deadline set for concluding the first phase of the agreement.

(With inputs from agencies.)