India’s deft diplomacy scores again: the freshly signed EU free trade agreement has catalyzed a long-awaited trade deal with the United States, per insights from Asia Society’s Farwa Ameer. This South Asia expert views the EU milestone as a strategic prod, compelling quicker US action amid preexisting talks.
On Monday, Ameer dissected the sequence: EU deal first, then swift US progress, sealed by PM Modi and President Trump’s announcement. Highlights include US tariff cuts to 18% on Indian goods (down from 25%) and waiver of Russia-oil penalties, after a year of rocky bargaining resolved by summit-level calls.
Russia lingers as a wildcard for India, Ameer cautioned. ‘Energy shifts are underway, but equilibrium with Moscow endures.’ The deal’s success hinged on elite diplomacy.
From trade sage Wendy Cutler comes optimism for India’s market positioning—18% US duties beat ASEAN’s 19-20%, a competitive boon. She pondered if the US out-negotiated the EU, parsing India’s barrier-cut commitments against Trump’s hazy signals.
Trump touted zero-barrier aspirations online. Cutler hailed the accord for unlocking synergies in critical minerals, tech innovation, and supply chain durability—essentials for future-proofing economies.
In tandem, Foreign Minister S. Jaishankar jets off to the US for minerals conclave, marking sustained bilateral thrust.