Does India stand to gain?

The global trade scenario is complex and the situation is unlikely to improve shortly.

- Dhurjati Mukherjee

With the US imposing tariff barriers, it is unclear which countries stand to lose and what will be India’s position. India reached a favourable free-trade agreement with the UK which has been hailed by business and industry groups as it is expected to facilitate trade, boost jobs and growth for both economies. Analysts are of the opinion that such a treaty augurs well at a time when Indo-US trade agreement is under negotiations to substantially reduce tariffs.

After the successful trade deal with the UK, India has also firmed up an economic partnership agreement with Chile to build upon the preferential pact that was signed several years ago. The new deal will cover a broader set of sectors, including digital services, investment promotion and cooperation, MSME and critical minerals. Meanwhile, negotiations with New Zealand have already started and are expected to be finalised shortly. Additionally, the one with EU, which has been in the pipeline for nearly two years, is also expected to move faster, especially after Union Commerce Minister’s Piyush Goyal parleys with Marcos Sefcovic, the EU Commissioner for trade and commerce earlier this month.