GSP: Altering Preferential Status A ‘Significant’ Change To India-U.S. Trade Ties, Says Raj Bhala
The Donald Trump administration's decision to end the preferential trade benefits enjoyed by India will have larger ramifications, according to Raj Bhala.
The move, the professor at the University of Kansas School of Law said in an interaction with BloombergQuint, signifies a change in tone of India-U.S. trade relations. “For the first time, U.S. is using the Generalized System of Preferences as leverage to try and compel its reforms in the dairy sector, medical devices and e-commerce rules.”
The Donald Trump administration informed the Congress recently that it wants to scrap trade concessions for India, Bloomberg News reported. That's expected to affect over $5 billion worth of goods. “However, it shouldn't come as a surprise to the Modi administration as it's been under review since April 2018.”
Key Highlights Of The Interview:
- U.S. has made clear its concerns about India's e-commerce rules and data localisation requirements.
- President Trump stressed countries were long taking advantage of U.S. since his State of the Union address last month.
- Indian trade negotiators would look at the new NAFTA, TPP and other trade deals for specific provisions for access to markets for dairy and medical devices.
Watch the full interaction here:
-
Talking Points This Week: Tech Nerves, FII Buying, And A Faraway Banking Shock
The global markets are not shining this Diwali. The exception in the large markets is, India.
-
Midterm Rally Lasted A Day. The Hard Reality Of A Divided US May Last Two Years | Opinion
Between a contested AI boom, a debt ceiling that arrives in 2027 and a president with every incentive to act alone, the next two years may prove more volatile than the first day's rally suggests.
-
Blue Wave Will Derail the AI Trade but Won't Dismantle the AI Era | Unhedged Position
The Democrats' sweep of the US Congress will see politics collide with economic forces both over the long and short term.
-
It's Time To Take The GST Council's Bet On Trust Global
Payment records can prove India's services exports, and clear, proportionate rules can bring foreign digital sellers into the tax net.
-
Opinion | India at 38: From Innovation Overperformer to Innovation Powerhouse
India now has 453 VC-backed deep science startups, 18 of them late-stage, after 117 percent growth since 2020. Laurus Labs, at USD 9.3 billion, is the most valuable deep science company in any middle-income economy outside China.
-
Navigating Energy Crossroads: S Jaishankar's Call For Diversified Supply Chains At G20 Ministerial Meeting
As geopolitical fault lines continue to test maritime trade routes and commodity flows, Jaishankar's message remains pertinent: true economic resilience requires open markets, protected transit lines, and a genuine commitment to multilateral cooperation rather than coercion.
-
Indians Are Travelling, But Not Every Journey Is A Holiday | The Week In Whys
Pilgrims, patients and working women are the real travellers, and the system hasn't quite caught up with them.
-
Getting To Work Costs Women More | The Reason Why
It is not just about women paying more than men. It is about women paying much more in cities than in villages.
-
AI Bias In Investing Cannot Be Eliminated, But It Can Be Governed
Framing is a particularly important example as identical financial information presented in terms of gains rather than losses can lead an LLM to reach a different assessment.
