US-India Trade Talks: Navigating Tariffs and Strategic Partnerships

US-India Business Council (USIBC) President Atul Keshap has raised red flags over the looming 25% tariff on Indian goods by the United States, urging both countries to negotiate a beneficial trade agreement. In a conversation with ANI, Keshap expressed concerns but maintained that the impact on the US economy would be limited due to India's smaller share in US trade.

While acknowledging India's crucial role in pharmaceutical imports, Keshap recognized that the leverage India holds is less than that of China's or Europe's. Despite Indian pharmaceuticals facing higher taxes, Keshap believes these effects will be manageable. He stressed the need for predictability in business dealings to alleviate nervousness across American and Indian firms.

Keshap highlighted the strategic importance of collaborating in sectors such as AI, semiconductors, and defense. He called for dialogue between US and Indian leaders to solve trade disagreements and emphasized building on 25 years of bipartisan efforts to strengthen the partnership. With the August 8 deadline closing in, the White House's impatience signifies the urgent necessity for an actionable trade deal.

(With inputs from agencies.)