Politics
Prevails over India prices: Modi will have to take a step back to move forward
Prime Minister Narendra Modis Visit to the White House last month does not seem to have brought India to the expected concessions and the support of Donald Trump. The American president was as hard for India as with other countries with a trade surplus with the United States.
Trump hates a trade deficit. Although nowhere in the league of this with China, the The United States has a significant deficit with India (46 billion US dollars), which makes Delhi ready to receive the presidents.
Trump was generous in his praise of Modis negotiation skillsdeclaring that he (Modi) is a much more difficult negotiator than me, and that he is a much better negotiator than me. There is not even a competition.
Compliments were clearly empty.
The opinion that Modi is the king of prices is the one Trump holds more firmly. Asset reiterated the pointArguing, Modi recently announced the reductions in unjust and very strong prices, which very strongly limit access to the United States on the Indian market. And really it's a big problem, I must say.
The solution to this problem is to inflict India with rigorous American prices. Trump announced that reciprocal prices would be triggered on April 2.
Modis tries to appease Trump at their meeting seems to have failed to work in favor of Modis. India potential acquisition F-35 were not enough to tilt the trade balance, or convince Trump that India was getting closer to the American side, since India was not fully satisfied with the quality of the defense equipment he obtained from Russia, while the pre-occupation of Moscomes with Ukraine made it difficult to follow the delivery times.
What is surprising is the haste with which the Trump administration made the pricing announcements.
Another preventive decision to gain approval of the States previously done by the auctions. The administrative allowance would give Elon Musks Starlink a point of view in India, bordering Mukesh Ambanis Reliance Jio in competition. Musque has pleasure of pleasure to potential access to the India market. This extended to the introduction of Promotion diagram for the manufacture of electric cars (SMEC) Aiming to attract Tesla to invest in India, allowing companies to test the market before investing in manufacturing facilities and providing reduced import rights to companies that invest $ 500 million US dollars.
Tesla a Selected space For exhibition halls in Delhi and Mumbai To sell its electric vehicles.
If Trump chooses to launch a rant against India prices on cars, there are good reasons to do so since Musk is waiting behind the scenes of selling his cars in India.
Trump also said he would like the United States to be the number one petroleum and gas. India took advantage of Western sanctions against Russian oil to buy crude at lower prices, which returns to Longtime Indias with Russia. But to keep the United States as a number one indication of export destination, in particular for Indiaes exports of electrical products, engineering and pharmaceutical products, certain dwellings may be necessary.
What is surprising is the haste with which the Trump administration made the pricing announcements. Delhi and Washington are in talks on a bilateral trade agreement that should increase trade Between the two countries at 500 billion US dollars. But prevails over efforts to observe India markets will open the difficulties with India internal commercial interests.
Modi can give in, but the number of steps back which he makes will also depend on his judgment of domestic backlash.
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Sources 2/ https://www.lowyinstitute.org/the-interpreter/trump-s-tariffs-india-modi-will-have-step-back-move-ahead The mention sources can contact us to remove/changing this article |
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