India and US actively engaging on trade, next call on January 13, new envoy says
- “Both sides continue to actively engage. In fact, the next call on trade will occur tomorrow,” Gor said
NEW DELHI: India and the US will discuss trade issues in their next call scheduled for Tuesday, Washington’s newly-appointed ambassador to New Delhi, Sergio Gor, said on Monday, at a time when failure to secure a trade deal has roiled their ties and pushed the Indian rupee to a record low.
India will also be invited to join Pax Silica next month, Gor said, referring to a U.S.-led initiative to build a silicon supply chain from critical minerals to semiconductors and AI.
Trade talks between India and the U.S. fell apart and Trump then doubled tariffs on Indian goods in August to 50%, among the world’s highest rates, including a levy of 25% to punish New Delhi for purchasing Russian oil.
The two nations have been close to a deal on several occasions since they agreed to negotiate in February last year, India said last week.
“Both sides continue to actively engage. In fact, the next call on trade will occur tomorrow,” Gor said in New Delhi as he formally took charge of his position, adding that the two countries will continue to work on issues such as security, counterterrorism, energy, technology, education and health.
The failure to reach a deal has pushed the Indian rupee to a record low and spooked investors waiting for progress in two-way negotiations.
India eyes new markets with US trade deal limbo
FRIENDS ALWAYS RESOLVE DIFFERENCES, GOR SAYS
Gor’s comments brought some cheer to Indian markets, and the benchmark Nifty 50 recovered 220 points to trade 0.15% higher as of 12:45 p.m. (0715 GMT).
Indian trade minister Piyush Goyal, in comments made elsewhere, also said that New Delhi continues to talk to Washington for a trade deal.
“The United States and India are bound not just by shared interests, but by a relationship anchored at the highest level,” Gor said.
Indian Prime Minister Narendra Modi had earlier agreed to target a deal by fall 2025, and more than double bilateral trade to $500 billion by 2030.
To bridge the $47 billion goods trade gap, India pledged to buy up to $25 billion in U.S. energy and boost defence imports.
Reuters has reported that New Delhi and Washington were very close to a trade deal last year but a communication breakdown led to the collapse of any potential pact.
“Real friends can disagree, but always resolve their differences in the end,” Gor said.
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