US Tariffs Threaten India Trade Deal Before It’s Signed

📡 The Diplomat · 1 min read ·
The promise of deeper economic cooperation between the United States and India is now at risk. New US tariffs have cast a shadow over the proposed trade pact, potentially undermining the deal before it is even finalized. The move marks a sharp shift from partnership to penalty. Punitive measures introduced by Washington could effectively “torpedo” the agreement, according to officials familiar with the negotiations. The tariffs, which are set to raise costs on key Indian exports, contradict earlier signals of a strengthened bilateral relationship. While both sides have expressed interest in a formal trade framework, the new duties create a significant barrier. Negotiators now face a difficult choice: absorb the economic hit or walk away from the table. The coming weeks will determine whether the two nations can reset their course or let the deal collapse under the weight of the new penalties.