In brief
India has rebuffed US Commerce Secretary Howard Lutnick's claims that a trade deal stalled due to Prime Minister Modi's lack of communication with President Trump. As tariffs increase, both countries are negotiating, but key issues remain unresolved. India stresses its commitment to a fair agreement and an ongoing productive dialogue with the US.
India has pushed back against US Commerce Secretary Howard Lutnick's claims regarding the stalled trade deal with the US, which he attributes to Prime Minister Modi not calling President Trump. Lutnick suggested that earlier communication could have advanced the negotiations, which have seen added complexity after Trump imposed 50% tariffs on Indian goods, including penalties related to Russian oil purchases.Despite tensions, both sides are engaged in ongoing negotiations, but significant differences remain, particularly concerning access to India's agricultural sector, which the US is advocating for. In response to Lutnick's assertions, India's foreign ministry clarified that discussions about a bilateral trade agreement have been ongoing since February of the previous year, with both parties engaging in multiple negotiation rounds.Lutnick's comments, made during a podcast, indicated that the initial phases of the deal seemed promising, stating India's reluctance to set up a call with Trump was a setback. India's officials confirmed that Modi and Trump have communicated on several occasions last year, addressing various aspects of their partnership. As talks continue amidst these complexities, India has maintained a strong export position to the US, even while navigating the challenges posed by heightened tariffs.
