investorsHD

inHD

Link copied

India delays U.S. trade talks after Supreme Court rejects Trump tariffs, source says.

general :: 12hrs ago :: source - reuters

By Manoj Kumar

(Reuters) - India has delayed plans to send a trade delegation to Washington this week, chiefly because ‌of uncertainty after the U.S. Supreme Court struck down tariffs imposed ‌by President Donald Trump, a source in its trade ministry said on Sunday.

One of the ​first concrete reactions among Asian nations to the decision, it follows Trump's move on Saturday to levy a temporary tariff of 15%, the maximum allowed by law, on U.S. imports from all countries, following the court's rejection.

"The decision to ‌defer the visit was taken ⁠after discussions between officials of the two countries," said the source, who sought anonymity as the matter is a ⁠sensitive one. "No new date for the visit has been decided."

The delay came mainly from the uncertainty over tariffs following Friday's judgment, the source added.

The delegation had been ​set to ​leave on Sunday for talks to ​finalise an interim trade deal, after ‌both countries agreed on a framework for Washington to cut punitive tariffs of 25% on some Indian exports linked to New Delhi’s Russian oil purchases.

U.S. tariffs on Indian goods were set to be cut to 18%, while India agreed to buy U.S. items worth $500 billion over five years, ranging from ‌energy supplies to aircraft and parts, precious ​metals and technology products.

India's opposition Congress party had ​called for the interim pact ​to be put on hold, urging a renegotiation and ‌questioning Prime Minister Narendra Modi’s decision to ​issue a joint ​statement before the court’s ruling.

On Saturday, the Indian trade ministry said it was studying the implications of the judgment and later U.S. announcements.

Last ​week, Trade Minister Piyush ‌Goyal said the interim pact could take effect in April, after ​outstanding issues were resolved during the delegation’s visit to Washington.

(Reporting by ​Manoj Kumar; Editing by Clarence Fernandez)


This week on Reuters