Trump, Moody agrees to speak in an attempt to resolve the commercial impasse

“I am pleased to announce that India and the United States of America are continuing negotiations to address commercial barriers between our state,” Trump wrote on social media on Tuesday. He added: “I look forward to talking to my dear friend, Prime Minister Moody, in the coming weeks. I feel sure that there will be no difficulty in reaching a successful result for each of our great countries!”

Moody responded shortly after a mail On X, he was looking forward to talking to Trump and that the United States and India are “close friends and natural partners.”

“I am sure that our commercial negotiations will pave the way to open its unlimited capabilities to the India and the United States partnership,” Modi said. “Our teams work to conclude these discussions as soon as possible.”

As tensions are low, a team of Indian trade negotiators is discussing plans to travel to Washington in the coming days, perhaps early next week to resume commercial talks, a person who is familiar with the matter, who is asking not to know the details is not in general.

Later in the day, the Minister of Trade and Industry Bio Joyal said in an event that India is in an active dialogue towards a trade deal with the United States

In order to agree to a commercial deal, New Delhi wants the United States to deal with a 25 % mutual tariff for Indian exports to America and 25 % of the tax imposed as a punishment for buying Russian oil, the person said.

A spokesman for the Ministry of Trade and Industry immediately did not respond to an email seeking more information.

Trump’s comments, which provide a positive evaluation of the relations between Washington and New Delhi, are even because the US President presses European Union leaders to join him in formulating the customs tariffs on India and China to punish countries for Russian energy purchases.

Trump told European Union officials during a meeting earlier on Tuesday that he was ready to join them if they imposed a comprehensive new tariff on India and China in an attempt to press the pressure of Russian President Vladimir Putin to join the ceasefire talks with Ukraine, according to familiar people of discussions. One of the people said that the United States is ready to reflect the customs tariff that Europe imposes on any of the countries.

This step threatens to increase efforts to resolve Trump’s trade conflict with India, which led to the exacerbation of last month by the United States, the tariff rate on many goods from the country has doubled to 50 % due to the purchases of India from Russian oil.

Trump seemed to relieve his speech on India last week, saying that there is nothing to worry about “in relations between the two countries. New Delhi officials said at the time they saw the comments. to cautionAnd wait for more signs from the White House.

Sonal Pharma, economist at Nomura Holdings Inc. said. , The comments from both leaders represent positive signals and increase the chances of a 50 % decrease in tariffs in India in the coming months.

However, Trump’s willingness to impose a new tariff on India and China to buy Russian oil “indicates that the United States wants the European Union to start the next step on the pressures related to Russia.” She said that the European Union and India are currently negotiating with the free trade agreement, which will need to consider any decision on an additional tariff.

China, Russia Relations

While India was one of the first countries to open talks with Trump on trade, the imposition of major fees on its exports shocked the New Delhi officials. American officials expressed his frustration with high Indian graphics on imports and other fire barriers.

Trump struck India 25 % before doubling this to address the continuous Russian energy purchases in New Delhi. India attacked the high tariff and insisted that it would continue to buy Russian oil as long as it is financially viable. India was the largest buyer of Russian savior in the sea, as the reduced barrels helped the third largest oil consumer in the world to maintain import bills.

Positive signals from Trump and Moody come a week after the Indian leader’s trip to China, where he had talks with Putin and Chinese President Xi Jinping. The US President criticized the meeting at the time and said that India was “lost” against China.

“The United States is the largest export market in India by a large difference – its value is higher than all shipments to the BRICS countries combined,” said Tennin, chief economist in Natsisis. “As such, the United States and India are natural commercial partners that give free comparison advantages. Both Moody and Trump have strong reasons for relations reform.”