Two days ago, the United States said it would cut tariffs on Indian goods to 18%, down from levels that had gone as high as 50%. Markets reacted fast. Stocks rose. The rupee strengthened. The first feeling was relief. It sounded like the trade fight with Washington and Donald Trump was easing.
Then more details emerged. U.S. officials said India would commit to buying over $500 billion worth of American goods. They also said U.S. tariffs would stay at 18%, while India would allow zero tariffs on some American products.
That relief started to feel more layered.
Just days earlier, India had signed the “mother of all trade deals” with Europe.
So why did India still move on this U.S. deal, now and on these terms?
Host Snigdha Sharma dives in.
Listen to our previous episode on the India-EU trade deal here: The 'mother of all trade deals' promises cheaper imports. Prices are another story
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