CEA Anantha Nageswaran says ties with US in ‘uneasy equilibrium’

According to fresh market updates, India’s relationship with the US is in an “uneasy equilibrium” as trade disputes between the partners persist, a senior government official stated.

“There is this offering of unsettled relationship with the United States, starting from the tariff-related issues last year, which are still continuing,” Chief Economic Adviser V Anantha Nageswaran stated in a speech at State Bank of India’s banking and economics conclave in Mumbai on Thursday.

New Delhi faces a fresh tariff threat even after reaching an interim trade deal with Washington earlier this year. A new US law gives President Donald Trump the power to impose levies of as much as 100% on countries that buy Russian oil and gas, adding uncertainty as India and the US negotiate a final tariff rate.

Nageswaran stated the trade and energy pressures facing India may additionally reflect a broader propel to choose between rival global blocs.

“India, given its geography and its size, cannot obviously belong to any bloc,” Nageswaran stated, adding that maintaining its independence could come at the cost of elevated energy prices and periodic supply disruptions.