Union Commerce Minister Piyush Goyal is expected to hold discussions with United States Trade Representative Jamieson Greer this week on the sidelines of the Group of Twenty (G20) Trade Ministerial in Milwaukee, Wisconsin. Goyal is likely to travel to the US late Monday, according to a report by Business Standard. The meeting comes amid growing trade-related concerns between India and the US, including Washington’s move allowing President Donald Trump to consider tariffs of up to 100% on countries purchasing Russian oil. The final decision on the proposed tariff, including its scope and rate, remains with the US President.
Tariff concerns and Section 301 probe
Apart from the Russia-linked tariff issue, India is also facing a US investigation under Section 301 of the US Trade Act over allegations of excess manufacturing capacity. The provision allows the USTR to examine foreign trade practices that it considers harmful to American businesses. The US has already imposed an additional 10% tariff on certain Indian goods following a separate Section 301 investigation related to alleged forced labour concerns in supply chains. These issues are also expected to feature in discussions at the G20 Trade Ministerial. The Office of the USTR said Greer would lead talks with trade ministers on issues including eliminating forced labour in supply chains, updating trade principles, addressing the use of trade restrictions and dealing with excess capacity. Indian exporters are hoping the discussions provide greater clarity on bilateral trade issues. Federation of Indian Export Organisations Director General and Chief Executive Officer Ajay Sahai said India is expected to highlight its concerns over Russia-related tariffs and the Section 301 investigation.
India-US trade deal discussions continue
Sahai said India should explain that its purchases of Russian oil are aimed at meeting domestic energy security needs. He added that India’s manufacturing expansion reflects economic growth rather than excess capacity. Meanwhile, negotiations on the India-US trade agreement are continuing. Goyal had earlier said discussions were nearly complete, with New Delhi awaiting a mechanism from Washington to ensure India receives a competitive tariff advantage.
