India Calls for Fair Trade Practices at BRICS Summit Amid US Tariff Tensions
At the virtual BRICS Leaders' Summit, India's External Affairs Minister S Jaishankar, speaking for PM Modi, raised concerns about increasing trade barriers. He highlighted the US decision to raise tariffs on Indian exports from 25% to 50%, emphasizing the need for fair and transparent economic practices. Jaishankar advocated for democratizing manufacturing across geographies to build regional self-sufficiency and resilient supply chains. He also addressed India's trade deficits with BRICS partners, calling for quick solutions. The summit saw participation from other BRICS leaders, including Chinese President Xi Jinping and Russian leader Vladimir Putin.
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In a significant development at the virtual BRICS Leaders' Summit, India's External Affairs Minister S Jaishankar voiced concerns over increasing trade barriers and called for fair and transparent economic practices. Speaking on behalf of Prime Minister Narendra Modi, Jaishankar addressed the pressing issue of global trade uncertainties, with a particular focus on recent US tariff hikes on Indian exports.
Criticism of Trade Barriers
Jaishankar specifically referenced the recent US decision to raise tariffs on Indian exports from 25.00% to 50.00%, highlighting the challenges faced by emerging economies in the current global trade landscape. This move has cast a shadow over the ongoing discussions for a potential India-US bilateral trade agreement, which began in March but has since encountered obstacles.
Advocating for Economic Resilience
The External Affairs Minister emphasized the need for democratizing manufacturing across different geographies. This strategy, according to Jaishankar, is crucial for building regional self-sufficiency and creating resilient supply chains. The call for diversification in manufacturing comes at a time when global supply chains are under scrutiny due to various geopolitical and economic factors.
BRICS Trade Dynamics
Jaishankar also brought attention to India's trade deficits with its BRICS partners, calling for expeditious solutions to address these imbalances. This highlights the complex trade relationships within the BRICS bloc and the need for collaborative efforts to ensure mutually beneficial economic partnerships.
Summit Participation
The virtual summit, convened by Brazilian President Lula da Silva, saw participation from other BRICS leaders, including Chinese President Xi Jinping and Russian leader Vladimir Putin. The high-level attendance underscores the importance of the BRICS alliance in shaping global economic policies and trade relations.
Looking Ahead
As discussions on the India-US bilateral trade agreement face hurdles following the US tariff decision, the focus shifts to how these tensions will be addressed in future negotiations. Meanwhile, India is set to assume the BRICS rotating chairmanship in 2026, potentially providing an opportunity to further advocate for its trade interests within the bloc.
The BRICS Summit has once again highlighted the intricate balance between national interests and international cooperation in the realm of global trade. As emerging economies continue to navigate these challenges, the call for fair and transparent economic practices remains at the forefront of international discussions.
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