Investing.com -- The United States is working toward an interim trade deal with India that could reduce proposed tariffs to below 20%, putting India in a favorable position compared to other countries in the region.
Unlike many other nations that received tariff demand letters this week, India does not expect to get such a letter. Instead, the trade arrangement is anticipated to be announced through a statement, according to a report from Bloomberg, citing people familiar with the matter.
The interim agreement would establish a baseline tariff below 20%, down from the 26% initially proposed. The deal would include language allowing both countries to continue negotiating the rate as part of a final agreement expected this fall.
This temporary arrangement would give New Delhi time to address outstanding issues before reaching a broader trade agreement. The timing for finalizing the interim deal remains unclear.