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India’s three-front strategy includes finalising a partial trade pact with the US, sealing FTAs with the European Union and United Kingdom, and curbing Chinese imports.
India is moving quickly to finalise a Partial Bilateral Trade Agreement (BTA) with the US. (IMAGE: X)
India is working to seal a Partial Bilateral Trade Agreement (BTA) with the United States before the 90-day window closes, sources told News18. Following the pause on US reciprocal tariffs, New Delhi is pursuing a decisive three-pronged strategy to boost trade ties and protect domestic industries.
FIRST FRONT: US TRADE DEAL
India is moving quickly to finalise a Partial Bilateral Trade Agreement (BTA) with the US. The preliminary deal is likely to cover essential and non-sensitive products. India is considering reducing duties on several US imports, while the US is expected to offer India some permanent tariff relief in return. A series of discussions have already taken place between India’s Ministry of External Affairs and the US administration, with the Prime Minister’s Office, the Ministry of Commerce & Industry, the Ministry of External Affairs, and the Ministry of Finance closely coordinating on the proposed pact.
SECOND FRONT: EU AND UK TRADE AGREEMENTS
To diversify its trade portfolio and reduce risks, India is accelerating efforts to lock Free Trade Agreements (FTAs) with the European Union and the United Kingdom. Sources said negotiations are at a very advanced stage, with India aiming for quick closures.
THIRD FRONT: PREVENTING DUMPING BY CHINA
To protect domestic industries, India is implementing a strict mechanism to prevent dumping by countries like China. This includes the rigorous enforcement of the Quality Control Order (QCO) to curb low-quality Chinese imports. An inter-ministerial group has also been formed to ensure swift and coordinated action on this front.
Sources said the government’s focus over the next three months will be on achieving tangible outcomes across these three strategic areas, with high-level consultations already underway.
Tariff break
US President Donald Trump hit pause on sweeping global tariffs as he announced a 90-day freeze for all countries except China. As countries got a temporary reprieve, Donald Trump imposed a 125 percent tariff on all Chinese imports. Beijing immediately retaliated as it slapped 84 percent tariffs on American goods- escalating the trade war between the world’s top two economies.
The White House doubled down on its pressure campaign on other countries while making an example out of China. In a blunt message to other nations, the White House said, “DO NOT RETALIATE AND YOU WILL BE REWARDED.”
WHITE HOUSE SAYS U-TURN WAS TRUMP’S PLAN ALL ALONG
US Treasury Secretary Scott Bessent said, “We’ve had more than 75 countries contact us, and I imagine, after today, there will be more.
Donald Trump’s trade adviser, Peter Navarro, said that the tariff situation “unfolded exactly the way it should,” while White House press secretary Karoline Leavitt said, “You clearly failed to see what President Trump is doing here. The entire world is calling the United States of America.”
