‘Significant progress in US trade pact’

U.S. DELEGATION BACKS DEEPER DEFENCE TIES

- Rezaul H Laskar

India and the US have made “very significant” progress in talks for a bilateral trade agreement, and Indian negotiators remained in contact with their ‘American counterparts to work on a positive outcome even while concluding the mega trade deal with the European Union (EU), people familiar with the matter said on Wednesday.

Most of the discussions for the trade deal with the US, which has been stalled since President Donald Trump hit Indian goods with 50% tariffs last year, have been completed and the pact needs tobe cleared by the top leadership on both sides to get across the line, the people said on condition of anonymity.

The free trade agreement with the EU, concluded during the India-EU Summit on Tuesday, shouldn't be seen asa response to the overall downturn in relations with the US as the American market isas important as the EU market for India, the people said.

“As far as the US deal is concerned, we have made very significant progress on that. Weare very close to seeing it come to fruition. The two sides remain in touch,” one of the people said, noting that Indian trade negotiators were in contact with their US counterparts even in the final stages of negotiating the FTA with the EU.