New Delhi: Indian tariffs imposed in retaliation for withdrawing preferential trade conditions by the US are unacceptable and should be reversed, said US President Donald Trump on Thursday just a day before the meeting with Prime Minister Narendra Modi.
In a Twitter post, Trump demanded the withdrawal of tariff imposed on 28 items at the beginning of this month, saying that it was on Friday in Japan with the meeting of Modi at the G20 summit in Osaka, Japan. Were eager to discuss.
“I am eager to talk to Prime Minister Modi about the fact that India is putting too much tariffs against the United States, more recently there has been an increase in tariffs. It is unacceptable and should be charged back! “Read Trump’s tweet.
A day after the remarks, US Secretary of State Mike Pampio negotiated with Foreign Minister Subramanian Jayashankar in New Delhi, during which both agreed with the need to work on the differences, keeping in view the larger perspective of its strategic partnership.
Pompeo said that America wanted to overcome more market access and trade barriers, he said that he addressed these differences in the “spirit of friendship”. “We will continue to work to resolve any economic dispute.”
Jaishankar said on his behalf: “I had the urge to take his creative and practical approach. It is natural that you will have business issues and I think the real test of our intentions is our ability to effectively address them. ”
Pompeo and Jaishankar Trump-Modi will be present in the meeting. The two leaders were to meet later in the tripartite format with Japanese Prime Minister Shinzo Abe, which was a sign of the partnership of major democracies.
Analysts in New Delhi said that Trump’s statement was a pressure-laden strategy. It is also clear that the strategic part of Indo-US relations was not with the share of trade. While the strategic side has shown the need to have close relations and close defense talks on issues such as terrorism, there is a need to work on the economic side of the relationship.
Earlier this month, India slapped the tariff on 28 US products exported to India, when Washington withdrew the long-standing trade concessions for India on June 1. Trump said that the preferential status allowed India to sell duty free goods of $ 5.6 billion. The US move was in line with Trump’s policy of reducing trade deficit, that is, equals imports and exports between the US and other countries.
Trump looks at a strong domestic constituency: For example, in his election campaign, he said that the United States buys more than other countries, which sells it, which claims to have influenced domestic manufacturing.
Then there is a difference between India and America on data localization – New Delhi is demanding that the data generated in India be stored within the country. American companies have complained about the lack of access to the market in India as well as other obstacles in the way of trade.
Recently, according to a Fact Sheet of the U.S. State Department, “To develop our business relations and Prime Minister Modi wants India to reduce trade barriers and adopt fair and mutual business.” Trump’s administration was working to ensure that “American companies working in India have a level playing field that Indian companies like in the United States”.
Immediately after reaching Osaka on Thursday, Modi spoke with Abe of Japan. Foreign Secretary Vijay Gokhale told reporters that the talks included agenda of the G20 meeting along with India-Japan bilateral relations. Gokhale said that the proposal for Modi’s proposal for G20 was found to take action against the problem of economic criminals seeking refuge in other countries. Abe had thought that G20 should deal with this problem as part of its anti-corruption measures, he said.
“The Prime Minister of Japan also mentioned the need to find suitable conditions for global trade and data flow. And he realized that the G20 should come with a constructive message on climate change, “Foreign Secretary said.” These were areas which the Japanese Prime Minister expected that they would get understanding and support of 20 members, including India. “