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Unlike 14 countries, those who have already received formal letters-and others can get them soon-after the 90-day break from President Trump, designing the revised tariff schedule, India will not get any such communication, people said, speaking on the condition of anonymity.
The terms of negotiation with India approved by the US Trade Representative (USTR) wait for Trump’s final sign-off. The Indian side is spreading carefully and not running into an agreement as the US concluded with Vietnam.
“We are demanding a fair and respectable agreement sticking to the red lines drawn on agriculture and dairy,” the first of the two people cited above.
The main glued points include dairy, agriculture, digital trade, genetically modified (GM) seeds and medical services. America is emphasizing for more access, while India aims to protect its major areas.
The US Embassy in the Indian Ministry of Commerce, New Delhi, the USTR and the US Department of Commerce, remained unanswered.
There are 24 hours left for the time limit of July 9 for mutual tariffs, the White House is expected to issue more letters to inform more letters about tariff rates. But India is not in the list.
“We are close to a deal with India,” Trump said in Washington on Monday.
Steep tariff
According to the Executive Order issued by President Trump on Monday, new mutual tariffs and rates will be effective for the following countries from August 1: Japan (25%), South Korea (25%), South Africa (30%), Kazakhstan (25%), Laos (40%), Malaysia (25%), Tunicia (40%), Tunisia (40%), (32%) ( Bangladesh (35%), Serbia (35%), Cambodia (36%), and Thailand (36%).
The highest tariff -40% -Loss and Myanmar have been applied. Thailand will withstand 36% of the duty, unchanged at the rate declared on April 2, while the rate of Cambodia has been revised by 49%. Bangladesh’s duty is less than 37%, and Indonesia’s 32% tariff remains unchanged. Malaysia’s tariff has been increased by one percentage points by 25%, while Japan and South Korea will face 25% of each duty.
White House press secretary Karolin Lewit said on Monday, “The revised tariff letters for more countries will be released in the coming days and weeks.”
Till this deal is announced, the tariff on India will remain unchanged at 26% – 10%of baseline duty and an additional 16%, which was quoted earlier. “We are expecting to finalize the trade deal on next week before 31 July, or the latest.”
“We want a deal, not a theft,” the person said, referring to Vietnam’s agreement with the US, which is still 20% duty despite a free-trade agreement for more than a decade.
However, business experts have warned that the emerging deal can reflect pressure rather than real mutuality as Trump demands concession without offering anyone, changing talks under unilateral pressures.
Ajay Srivastava, co-founder of Global Trade Research Initiative (GTRI), said, “What we are watching is deals under Duras, not based on true mutuality.”
“President Trump’s business strategy crosses the traditional FTA. It demands tariff cuts and purchases commitments from partner countries, which effectively replaces interactions in a unilateral pressure treaty, effectively unilaterally unilateral pressure treaty,” he said.
He said, “Even signed deals do not guarantee long -term certainty,” he said. “Recently, 10% tariff threats against BRICS countries over the so -called American policies show how American trade diplomacy has become unstable and politically induced American trade diplomacy.”
Vietnam, UK Model
Business experts said India’s Pact is likely to follow the American model adopted in agreements with the UK and recently, Vietnam said, business experts.
In its trade deal with the UK, the US did not remove 10% baseline duty to apply to all countries. In the case of Vietnam, the total tariffs including 10% baseline duty imposed under Trump’s mutual tariff structure were reduced from 46% to 20%. The US-Vietnam deal also introduced a 40% tariff on transmission through Vietnam, aimed at rebuilding Chinese goods through Vietnamese features.
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