From CNBC · Priyanka Salve · · 3m
Trump seeks India trade deal after midterm setback
Following electoral losses, Trump is eager to announce trade deals as policy wins. India is the prime candidate, with a pact likely by December's G20 summit.
In brief
Following electoral losses, Trump is eager to announce trade deals as policy wins. India is the prime candidate, with a pact likely by December's G20 summit. Trump is pushing to finalize a U.S.-India trade deal by December's G20 summit to claim a policy victory after midterm election losses, as Democrats challenge his…
Trump's midterm loss shifts trade focus
After losing the midterm polls, U.S. President Donald Trump is keener to make a trade announcement. India is the most likely candidate for a deal.
Experts see deal as policy achievement
Experts told CNBC that Trump could lean toward closing pending trade deals to promote them as policy achievements to the American public. India is a prime candidate.
December G20 summit set for signing
Trump and Indian Prime Minister Modi are likely to sign the trade pact when they meet in December for the G20 leaders meeting, as negotiations have largely concluded.
Gentlemen's agreement between leaders
Mark Linscott, former assistant U.S. trade representative, told CNBC there seems to be a gentlemen's agreement between Trump and Modi that the deal should be concluded at their December meeting.
“are far along and there seems to be a gentlemen's agreement between Trump and Modi”
Cost of living haunts Trump's tariffs
Trump has used tariffs as pressure to clinch trade deals, but this approach has drawn criticism from opponents who say export levies increased costs for American households.
Election verdict on affordability
Ronak D. Desai, visiting fellow at Hoover Institution of Stanford University, told CNBC that cost of living was the top concern for American voters in the midterms.
“The election was a verdict on the cost of living, and tariffs are now a liability the President cannot defend on the numbers”
Tariffs raised household tax burden
According to estimates from Tax Foundation, a nonprofit, the duties raised the average U.S. household's tax burden by eight hundred twenty dollars in twenty twenty-six and one thousand dollars in twenty twenty-five.
Democrats prepare tariff challenge
Within days of taking control of both houses of Congress, Democrats are preparing to challenge Trump's signature tariff policy. A trade deal could validate his tariffs-led approach.
February deal awaits final approval
In February, Trump announced a deal with India, claiming New Delhi agreed to buy American at a much higher level after the U.S. agreed to slash tariffs to eighteen percent.
Negotiations reach final stages
As per Indian media reports, India's Commerce Minister Piyush Goyal confirmed that discussions on the trade deal had largely concluded.Trump said on October twentieth that the two sides were pretty close to a final deal.
“pretty close”
G20 summit provides perfect stage
Aryan D'Rozario, associate fellow at the Center for Strategic and International Studies, told CNBC that Modi's visit to the G20 summit in December will provide the perfect stage to formalize an agreement.
What matters most
Trump is pushing to finalize a U.S.-India trade deal by December's G20 summit to claim a policy victory after midterm election losses, as Democrats challenge his tariff strategy.
