A significant update has emerged regarding the interim trade deal between India and the United States. Sources privy to the matter have revealed that the proposed meeting of the chief negotiators in Washington, aimed at finalizing various aspects of the trade deal, has been rescheduled. The Indian delegation was initially set to commence the three-day meeting on February 23.
Why Was the India-US Meeting Postponed?
According to a PTI report, a source familiar with the situation shared insights into the opinions of both parties concerning the Indian negotiator team's visit to the USA for the trade deal discussions. The postponement decision stems from both sides agreeing that the visit should occur after gaining a comprehensive understanding of the latest developments and their impacts. The meeting will be rescheduled by mutual consent on a future agreed date.
Post-Trump Tariff Ruling Led to Delay Announcement
Notably, the US Supreme Court recently ruled against former President Donald Trump's reciprocal tariffs, declaring them illegal. Following these key legal proceedings, news of the meeting's postponement surfaced unexpectedly.
The development holds substantial significance post the US Supreme Court's tariff decision. On the heels of the court's ruling last Friday, Donald Trump announced a 10% tariff increase on all countries, including India, under Section 122 for the next 150 days, subsequently raising it to 15% within 24 hours.
When Will the Trade Deal Be Finalized?
India and the USA have reached a mutual consensus on the trade deal, with the framework and fact sheet already disclosed. India's Minister of Commerce, Piyush Goyal, recently stated that the interim trade deal between India and the US might be signed in March and come into effect in April.
Amid these announcements, it was mentioned that the legal draft of this interim trade agreement between Indian and American officials would be finalized soon, and a three-day meeting had been scheduled in the US starting February 23. However, with the recent updates, this meeting has now been rescheduled.
