'Zero-for-zero rates are unlikely to be under proposed India-American Bilateral Trade Agreement: Report | Mint

A “zero-for-zero” tariff trade agreement is unlikely under the proposed bilateral trade agreement in India-the US US, as the two countries are at various levels of economic development, reports the PTI news agency, citing officials aware of the development on Sunday, April 13. April 2, 2025. The officials cited in the agency report also said that the agreement between India and the US would be a “package agreement” that could include goods and non-tariff barriers. “It does not happen that if he will do” zero “in electronics, we will also do in electronics. Trade agreements do not happen so. It is a wrong thinking,” officials told the news agency. Since March 2025, India and the United States have been negotiating a trade transaction. The officials also emphasized that a zero-for-zero trade between the US and the European Union (USA) may be possible, as both partners develop and are advanced countries. “The work started with the agreement. India is far ahead of other countries to negotiate a trade agreement,” the official said of the progress of the India-US trading transaction, according to the agency report. According to the Agency Report, the Indian specific sector trading transaction India and the United States are a sector-specific discussion in the coming weeks under the bilateral trade agreement. In a trade agreement, two countries can significantly reduce or eliminate customs duties at the maximum number of goods traded between them, in turn increasing bilateral trade and increasing investments in the countries. India will be looking for tariff cuts in sectors such as clothing, textiles, gemstones and jewelry, leather, plastic, chemicals, oilseeds, shrimp and horticultural products, while the US is looking for concessions in industrial goods, motor vehicles (electric vehicles), wines, petrochemicals, dairy and agricultural items. According to the data from the Ministry of Trade and Industry, the export of goods from India from February 2025 was $ 395.63 billion, compared to levels of $ 395.38 billion in the same period a year ago. The data also showed that the export of India was in the 2024-25 fiscal at $ 354.90 billion in the 2024-25 fiscal, compared to the one year ago’s levels of $ 311.05 billion. India’s exports rely a lot on products such as tobacco, electronic goods, coal and other earth minerals, and countries such as Australia, the US, Japan and Brazil, are one of the largest importers of the goods sold by the South Asian country. First published: 13 Apr 2025, 08:58 pm Ist