As the August 1 deadline for imposing tit-for-tat tariffs approaches, the United States has said that more talks are needed before it can sign a bilateral trade agreement with India.
US Trade Representative Jamieson Greer told CNBC that there is a need for both countries to continue talking to achieve a full-fledged trade deal.
We still talk to our Indian counterparts, we've always had very useful discussions with them," Greer said in the interview.
He emphasized that India has displayed "strong interest in opening parts of their market," indicating willingness on New Delhi's behalf to make progress.
We, of course, are happy to keep negotiating with them. But I think we have some more negotiating to do on that with our Indian friends to determine how ambitious they are going to be," Greer further said, noting the scope and intensity of the accord are still under negotiation.
Greer also commented on the long history of India's trade approach, where the focus is on protecting domestic industry. "The thing to understand with India is that their trade policy for a very long time has been premised on strongly protecting their domestic market. That's just how they do business," he said.
In another context, Greer also referred to the current trade negotiations with China, describing Beijing's willingness to negotiate as "a good sign," although he warned against hoping for any "enormous breakthrough."
On the Indian side, Union Minister of Commerce Piyush Goyal had previously signaled that a pact could be in sight, which could prevent the imposition of high tariffs of as much as 26 percent.
Union Finance Minister Nirmala Sitharaman also provided a positive report lately, stating, "I can't say whether bilateral trade is good or bad, but we are progressing on bilateral. Negotiations with the US and EU are going well."
US President Donald Trump has also expressed confidence in the trade talks, suggesting that an agreement with India might be finalized shortly. “We’re very close to a deal with India, where they open it up,” Trump said earlier this month, referring to India potentially easing access for American exports.
Significantly, including India, no country has officially been tariff warned by the Trump administration—contrasting with a number of nations that have received notices threatening tariffs up to 35 percent if they do not strike a deal before the August 1 deadline.
Read also| India Accelerates Trade Deals—U.S. Faces Growing Pressure to Respond
