He emphasised that New Delhi and Washington are committed to the framework deal agreed in February. “We are engaged with the US side on the trade deal and our contacts are regular,” said Agrawal. His comments track the US last month levying an additional 10% duty on Indian goods under a Section 301 probe on alleged forced labour concerns. The duty, also imposed on 16 other countries, is however lower than the 12.5% tariff the US proposed in June as part of a broader probe under Section 301 of its Trade Act.
Also Read: US-India trade deal could be signed in 3-4 months, US official says
Separately, Washington is considering further tariff action on India among five countries due to their continued imports of Russian oil, while continuing investigations into New Delhi’s excess capacity under Section 301.
On the issue of the latest US’ Bill which allows President Donald Trump to slap 100% tariffs on goods from countries that are the top five importers of Russian oil and gas, Agrawal said it is a legislative process of the US, which is underway, underlining that it’s their internal process.
Also Read: US sanctions bill makes India-US trade deal more critical, may push up import bill: Economist
The commerce and industry ministry said India continues to actively engage with US authorities to resolve outstanding trade issues. “We are discussing non-tariff barriers with the US,” said an official. “We are asking about the new Bill…our talks with them are reassuring,” he said.