India-US interim trade deal remains stuck over tariffs, political concerns, sources
US Secretary of State Marco Rubio said 99 per cent of the India-US interim trade deal is complete and an announcement could follow within weeks, but the pact remains stalled over Washington’s insistence on higher import tariffs, sources said. New Delhi is unwilling to accept anything more than the additional 10 per cent levy Indian exports currently face, and is weighing domestic political implications of agricultural concessions ahead of US mid-term elections. Sources said India is inclined to wait until the mid-term elections are over before deciding how to proceed.
Why it matters: The impasse shows how tariff levels and US electoral timing shape trade policy, tying the interim deal to domestic political calculations in both countries.