India revives its ‘zero-for-zero’ push with US betwixt dangling BTA prospect
Just when we thought ‘zero-for-zero’ was gathering dust in the diplomatic archives, India is breathing new life into the idea, and this time, the country is refusing to take no for an answer. Indian industry is rallying for tariff-free trade on aluminium, steel, and autos through a proposed Bilateral Trade Agreement (BTA) with the United States. And aluminium, the often-overlooked metal powering everything from EVs to skyscrapers, is quietly hoping for its moment in the sun.
According to a publication by India’s Ministry of External Affairs, officials suggested that the zero-for-zero offer could potentially aid in fast-tracking the proposed BTA between the bipartisan, which may, in turn, pave the way for rolling back the 26 per cent reciprocal tariff on Indian goods imposed by the US starting April 9.
However, the concession is not exempt from conditions. Sources confirmed that the government plans to impose rigorous rules of origin, requiring at least 30-40 per cent local value addition alongside a change in tariff heading. This condition is aimed at preventing third-country goods from entering the Indian market through the US at concessional duties.
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