US Diplomat's India Visit: Trade Deal Hopes and Tensions Linger

Image Source: Internet

The United States' top diplomat, Under Secretary of State Allison Hooker, is set to visit India in the coming weeks for crucial consultations with the Ministry of External Affairs. Hooker, a senior US State Department official, will engage with Indian counterparts to review the entire gamut of bilateral relations, including cooperation in the Indo-Pacific region and strategic developments in South Asia. The visit comes at a time when the US and India are grappling with several challenges, including an unsigned trade deal, Washington's efforts to improve ties with Pakistan, and strained political relations between the two nations. Despite these obstacles, both sides have made progress in recent months, with the signing of deals in the energy and defence sectors. One of the key areas of focus for Hooker's meetings will be the ongoing trade tensions between the US and India. The absence of a trade deal and a 50% tariff on Indian imports, including a 25% penalty for purchasing Russian energy, have hindered the relationship. However, Indian companies have scaled back on energy purchases from Russia, and key bilateral initiatives like the TRUST partnership are showing signs of life. Recent developments, such as a one-year deal between Indian public sector oil companies and US energy majors for the import of 2.2 million tons of Liquefied Petroleum Gas, and a $946 million sustainment package for India's MH-60R Seahawk helicopters, demonstrate the potential for growth in the bilateral relationship. Hooker's visit is expected to explore ways to overcome the current challenges and strengthen the partnership between the two nations.