India-US Trade Deal Talks Postponed Amid Tariff Turmoil

Negotiations between India and the US on an interim trade pact have been postponed. The move follows a US Supreme Court ruling against tariffs imposed by the Trump administration. Adjustments to the tariff rates are required to finalize the deal, which both sides aim to reschedule at a convenient time.

India and the United States have decided to postpone a crucial meeting aimed at finalizing the text for an interim trade agreement. The meeting, initially scheduled for February in Washington, has been deferred to allow both parties to assess recent developments, according to Indian Commerce Ministry sources.

This delay follows a ruling by the US Supreme Court that declared the tariffs imposed by former President Trump as illegal. The verdict noted that Trump exceeded his authority by leveraging the International Emergency Economic Powers Act of 1977, affecting his economic agenda significantly.

Despite previously agreed tariff reductions between the two countries, President Trump has announced plans to reintroduce raised tariffs, complicating negotiations. The need for adjustments and further clarity has led to the rescheduling of talks to reach a trade agreement valued at USD 186 billion in bilateral trade.

(With inputs from agencies.)