The India-USA trade deal, recently announced, is up there with the best thrillers – who got who? Who won? Did anybody sell out?
And this one finished with a flourish and hint of a future drama – the Indian Commerce Minister, grilled on the likely higher US imports, responded that competitiveness of local industry should win over protectionism. More drama ahead.
India’s PM Modi and USA’s President Trump are mega leaders – macho in style.
But Trump effective 7 February lifted the punitive 25% tariff on India on the promise of no further purchases of Ruddian oil. Mysteriously PM Modi has made no comment on the oil.
INTO INDIA cannot side with critics who suggest Modi has bowed to US pressure.
We see this as a step in the right direction. Cheap Russian oil was always “old India strategy”. Perhaps the new strategy is access to the world’s largest market – the USA.
This is a win for pragmatism – after all, the USA is India’s biggest trading partner and source of capital; and for the US, India is another step in its wish to hedge China’s rise.
Winners and losers? Who knows. Perhaps we have a long-term strategic shift this time.
Into India 