The Trump administration has expressed confidence that trade tensions with India will be resolved soon, with U.S. Treasury Secretary Scott Bessent saying the “two great countries will get this solved.”
Speaking to Fox Business, Bessent commented on ongoing negotiations and emphasized the importance of India as a major global partner. He also downplayed the broader significance of Indian Prime Minister Narendra Modi’s recent participation in the Shanghai Cooperation Organisation (SCO) summit in China, describing the gathering as “largely performative.”
“This is a longstanding meeting, it’s called the Shanghai Cooperation Organisation, and I think it’s largely performative,” Bessent said. “At the end of the day, India is the most populous democracy in the world. Their values are much closer to ours than often assumed.”
Trade discussions between New Delhi and Washington have faced hurdles in recent years, with tariffs and market access remaining central issues. President Donald Trump previously described trade with India as a “one-sided disaster,” citing high tariffs that, in his view, limit American companies’ ability to compete in the Indian market.
The United States recently imposed tariffs of up to 50% on Indian exports, the highest among Asian nations. Bessent noted that slow-moving trade talks contributed to the decision, adding that both sides ultimately have strong incentives to find common ground.
“I think at the end of the day, two great countries will get this solved,” he said, highlighting optimism that negotiations could bring the two economies closer together despite current friction.
India has maintained that its tariff structure is consistent with global rules and necessary to balance domestic needs with international trade obligations. The country has also signaled openness to greater trade liberalization under reciprocal arrangements.
Analysts note that the outcome of U.S.-India trade talks could have significant implications for global supply chains, with both nations playing key roles in technology, agriculture, and manufacturing. Many expect discussions to continue through 2025, as both governments seek ways to strengthen economic cooperation.
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