India tested, from U.S. sanctions to one-sided trade deal, Pg8

Key Highlights:

• The India-United States Bilateral Trade Agreement is under negotiation, with concerns arising from the process and potential implications.
• The U.S. has unilaterally made announcements regarding the deal, including details of discussions between President Trump and Prime Minister Modi.
• The U.S. rescinded 25% punitive tariffs on India based on understandings related to India reducing Russian oil imports.
• India's imports of Russian oil have decreased since November 2025, reaching a 38-month low in December 2025.

Detailed Insights:

• The U.S. is pushing India to buy American and American-controlled Venezuelan oil, give up the Chabahar port project, and halt all trade with Iran.
• Accepting U.S. demands could damage India's credibility as a buyer and supplier in the global market, especially as it prepares to host the BRICS summit.
• Concerns exist that strategic agreements with the U.S. may follow a pattern of accepting "unfair, unjustified and unreasonable" measures.
• The U.S.'s deals with Pakistan and Bangladesh, along with demands on Russian oil and trade with Iran, could benefit China.
• The deal could damage India’s principles of strategic autonomy, multi-alignment, and multipolarity, narrowing its options in various sectors.
• In 2019, India rejected the Regional Comprehensive Economic Partnership (RCEP) due to concerns about Chinese economic domination.

Key Concepts Involved:

• Bilateral Trade Agreement: An agreement between two countries about trade and business.
• Strategic Autonomy: A country's ability to make its own foreign policy and security decisions without being unduly influenced by other countries.
• Multipolarity: A distribution of power in which more than two nation-states have nearly equal amounts of military, cultural, and economic influence.