Donald Trump: Save a great trade agreement with India for later | India Business News
“We can have a trade agreement with India. But I am really saving the big business for later,” he told reporters at Andrews Joint Base on Tuesday afternoon (local time).
Trump is scheduled to visit India on February 24 and 25.
The United States and India could sign a “business package” during the visit, according to media reports.
When asked if he expected a trade agreement with India before the visit, Trump said: “We are making a great trade agreement with India. We will have it. I don’t know if it will be done before the elections.” but we will have a big problem with India. ”
US trade representative Robert Lighthizer, the key person for trade negotiations with India, probably won’t accompany Trump to India, sources said. However, officials have not ruled it out completely.
In an apparent dissatisfaction with the trade ties between the United States and India, Trump said: “India does not treat us very well.” But he praised Prime Minister Narendra Modi and said he is waiting for his visit to India.
“I really like Prime Minister Modi,” Trump said.
“He told me that we will have seven million people between the airport and the event. And the stadium, as I understand it, is almost under construction, but it will be the largest stadium in the world. Therefore, it will be very exciting … I hope that everyone enjoy it, “he told reporters.
Meanwhile, the United States-India Strategic and Association Forum (USISPF) in a report said that the latest quarterly data show the continuation of positive bilateral trade trends in general. The third quarter data reflect a certain drop in growth rates.
“It may be due to several reasons, including the unexpected economic slowdown in India’s economic growth, the impact of the US-China trade war, the withdrawal of the GSP from the US side and retaliatory tariffs on specific US products from the side. Indian, “said USISPF.
According to the report, the data available for the first three quarters of 2019 (January-September) reduced the overall growth rate in cumulative bilateral trade to 4.5 percent from the 8.4 percent recorded in the first two quarters .
The performance of trade in goods and services in the third quarter was appalling at -2.3 percent, in contrast to the impressive 9.6 percent growth observed in the first two quarters of the year; While trade in services increased by two percent, trade in goods fell by five percent, according to the report.
The accumulated trade of goods and services between the USA. UU. And India ($ 110.9 billion) during the first three quarters of 2019 increased 4.5 percent with US exports and imports. UU. Growing to 4 percent and 5 percent respectively.
The United States exported goods and services worth 45.3 billion dollars to India in the first three quarters of 2019, 4 percent more than in the corresponding period of the previous year; and the United States imported goods and services worth $ 65.6 billion from India, 5 percent higher than the level of $ 62.5 billion from the previous year for the same period, he said.
The USISPF has projected that total bilateral trade can reach $ 238 billion by 2025 if the current average annual growth rate of 7.5 percent is maintained; however, higher growth rates can result in bilateral trade in the range of $ 283 billion and $ 327 billion.
The United States remains India’s main trading partner in terms of trade in goods and services, followed by China. While bilateral trade between the US UU. And India is approximately 62% in goods and 38% in services, bilateral trade between India and China is dominated by goods.
India’s trade with China grew by 13% in 2018, while India’s trade in goods with the US. UU. It increased by 18%.
China had a huge trade surplus of $ 58 billion with India, indicating Beijing’s strength in the Indian market, especially in sectors such as electronics, machinery, organic chemicals, plastics and medical devices.
Exports of US goods to India, by comparison, focused mainly on mineral fuels, precious stones and airplanes. The United States faces stiff competition with China in the Indian market in areas such as electronics, machinery, organic chemicals and medical devices.