Ross is visiting New Delhi in a time when India and the USA are locked in disputes over tariffs, cost caps India has imposed on imported US medical apparatus, and over principles banning companies from selling products through firms where they have an equity interestrate.
India also prohibits businesses from making deals with vendors to sell exclusively on their own platforms, rules that could impact investment strategies of foreign companies in India’s fast-growing market set to touch $200 billion (roughly Rs. 14 lakh crores) by 2027.
Ross told reporters he would talk about e-commerce with India’s commerce minister, Suresh Prabhu.
“We are negotiating and we need there to be a breakthrough since India has bets and they are among the biggest partners and this is a chance to de-escalate tensions,” among the sources said.
In March, US President Donald Trump announced plans to end preferential trade treatment for India that enables duty-free entry for around $5.6 billion (approximately Rs. 39,000 crores) worth of its exports into the United States.
India is the world’s biggest beneficiary of the trade concession, known as the Generalised System of Preferences (GSP), and its withdrawal are the most powerful punitive actions against the country since Trump took office in 2017.
India wants the United States to review its decision on GSP and also hopes it will defer its decision to draw trade privileges until India’s general elections are over on May 19, among the sources stated.
Political and security ties between India and the United States have grown but trade has come to be a problem. Indian officials said both sides will emphasise strategic ties and try to manage trade differences.
“The messaging is a re-assurance that the US believes of India as a strategic partner and the connection cannot be colored by differences on trade,” among the sources said.
India has held off execution of new tariffs on US products after Washington refused to give it an exemption on greater steel duties.