USTR Greer to meet Goyal 'soon', finalise India-US deal framework, Pg18

Key Highlights:

• USTR Jamieson Greer will meet Commerce Minister Piyush Goyal to finalize the India-US deal framework.
• The US team will visit India from June 1-4, 2026, to finalize the Interim Agreement.
• The new US tariff architecture is expected next month, following the Section 301 investigation.
• India's gross FDI inflows rose to a record $94.53 billion in 2025-26, a 17% increase.

Detailed Insights:

• The India-US deal framework has been under discussion since early this year, aiming to boost trade and investment.
• The US Supreme Court declared reciprocal tariffs illegal in February, prompting the US to develop a new tariff architecture.
• The Section 301 investigation could lead to tariffs, quotas, export controls, or investment-creating measures against countries, including India.
• India is also negotiating a Comprehensive Economic Partnership Agreement with Canada, with ongoing talks in Ottawa.
• A slowdown in investments and foreign capital outflows has led to a weakening Indian currency, despite record FDI inflows.
• The West Asia war has triggered a significant exit of foreign capital from India, impacting financial assets.

Key Concepts Involved:

• Reciprocal Tariffs: Taxes imposed by a country on imports from another country, matching the tariffs imposed by that country on its own exports.
• Section 301 Investigation: A tool used by the US to investigate and counter unfair trade practices by foreign countries that harm US businesses.
• Foreign Direct Investment (FDI): An investment made by a firm or individual in one country into business interests located in another country.