Sitharaman urges swift signing of India‑US trade pact amid China market worries

Finance Minister Nirmala Sitharaman said on Friday that she hopes the India‑US trade agreement will be signed at the earliest, citing benefits for global trade and bilateral ties.

US Trade Talks

Sitharaman noted that Commerce and Industry Minister Piyush Goyal announced the first phase of the pact has been finalised and is now being drafted into law.

China Trade Issues

She added that the growing trade imbalance with China and persistent market‑access restrictions remain major worries. India has sought entry for generic medicines, bovine meat, vegetables and other perishables, but progress has been limited. Sitharaman blamed non‑tariff barriers, especially phytosanitary measures, as the biggest obstacle and said India prefers negotiations over punitive tariffs.

BRICS View

Speaking about the BRICS bloc, she said it should be seen as a partnership for welfare, not as a counter‑balance to any country. She pointed out that BRICS members cover about 40 % of the world’s population and, with new members, account for roughly 45 % of global trade. Sitharaman also highlighted that India has been the world’s fastest‑growing major economy for the past four to five years, driven by inclusive growth, skill development and fiscal prudence. She said government borrowing is aligned with infrastructure projects, which create jobs and boost activity without heavily straining the fiscal deficit.

Context

A trade agreement sets rules for tariffs, services and investment between countries. Non‑tariff barriers are regulations that can block imports without using duties. BRICS is a grouping of emerging economies that seeks cooperation on economic issues.