Trade talks between the US and India, planned for late August, have been called off amidst escalating trade disputes related to tariffs, with a potential rescheduling anticipated.
The talks were intended to facilitate negotiations on a bilateral trade agreement, a process that has become more urgent due to the imposition of new tariffs by the US on Indian goods.
The latest round of talks would have been the sixth in a series of discussions on the trade pact, and its timing was critical. The talks were scheduled to align with the effective date of the new 25% tariff on Indian goods imposed by the US, which was August 27. The discussions were also intended to pave the way for finalizing the agreement in September-October.
Sources suggest that a rescheduling of the visit is likely.
During his Independence Day address, Prime Minister Narendra Modi emphasized the importance of ‘swadeshi’ (Made in India) products and underscored the government’s support for farmers and fishermen.
Meanwhile, Trump has suggested that Russia lost India as a major oil client due to the US tariffs. He hinted that secondary tariffs might not apply to nations still importing Russian oil.
Trump’s remarks came after the US imposed a 25% tariff on Indian goods, which is in addition to existing tariffs. The new tariff is set to be implemented on August 27.