Historic Trade Shift: India-US Tariff Deal Boosts Economic Prospects

India and the US have agreed to reduce reciprocal tariffs on Indian goods from 25% to 18%. This development is hailed by former diplomats as a 'historic deal' owing to 'quiet diplomacy.' The agreement, seen as a major relief, is expected to enhance labor-intensive industries and foster new partnerships.

The recent trade agreement between India and the United States marks a significant reduction in reciprocal tariffs, bringing them down from 25% to 18%. This development, announced on Monday, has received widespread approval from former diplomats and business leaders who view it as a pivotal moment in India-US trade relations.

Anil Wadhwa, a former ambassador, described the deal as a 'positive development' for both nations, emphasizing its potential to benefit labor-intensive industries. He noted that this tariff reduction paves the way for further collaborations, particularly in technology and other sectors.

Harsh Vardhan Shringla, India's former envoy to the US, termed the agreement 'historic' and highlighted the competitive edge it provides Indian exporters. Meanwhile, Ambassador Vinay Kwatra celebrated the deal as a 'big win,' opening avenues for economic growth in both countries. The agreement represents a fresh chapter in bilateral relations and underscores the 'quiet diplomacy' that has characterized the negotiations.

(With inputs from agencies.)