India-us ties: The road ahead
It exported goods worth $4.7 billion to the US under GSP in 2016, which was more than any other country and which was equal in worth nearly 10% of its exports tot he US under normal trade relations of $41.36 billion.
In that period, India expects to come under pressure, multiple sources said, to yield ground on some continuing market issues such as removing the price cap on stent devices used in heart surgeries and open up its poultry sector to US imports, and implement a WTO adjudication verdict.
India will have to pay a price if it wants to continue on the list — withstanding pressure from some critics who have argued India doesn’t need that kind of help any longer — and which will not be easy for Modi to pay, specially so close to a general election that could be close.
There are other trade issues between the two countries, such as the matter of trade deficit, that has been alleviated to an extent by Indian purchase of US crude and gas and a large order of civilian use aircraft. But market access and related issues have been an irritant for a while, and 2018 might be no different.
There will then be the issue of immigration. Trump, a critic of the H-1B visa programme, and his administration, have changed some aspects of it.
A slew of further changes is expected in 2018 . “Indian companies will be hit,” said an Indian official, “but we feel Indian professionals hoping to work in the US could in fact remain unharmed or may even benefit.”
Pakistan will be a key issue, and one on which India would hold US to its words, specially the tough language used by Trump himself and his top officials.
Year 2018 will pose other challenges — such as the continuing clash of Modi’s and Trump’s ‘Make in India’ and ‘Buy American, Hire American’ vision for spurring domestic manufacturing, but overall, experts and officials, said the relationship was headed north, all conditions remaining same. Trump pulled the US out of the Paris climate accord. He praised ‘clean coal’ and his administration approved the Dakota Access pipeline and Keystone XL pipeline, reversing the Obama administration's decisions
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