India-US deal a diversion from China standoff, alleges Jairam Ramesh

Congress's Jairam Ramesh said the Opposition will discuss the India-US trade deal in Parliament, calling it a tactic by PM Modi to divert attention from the 2020 China standoff raised by Rahul Gandhi, citing Gen Naravane's memoir.

'Diversionary Tactic'

Congress MP Jairam Ramesh on Saturday said that the Opposition parties will discuss the India-US trade deal framework in the Parliament during the ongoing Budget Session. Speaking to ANI, Jairam Ramesh called the India-US joint statement a tactic to divert attention from the 2020 standoff with China, which was flagged by the Leader of the Opposition in the Lok Sabha, Rahul Gandhi, in Parliament.

He said, "Rahul Gandhi raised the issue of a standoff with China in Ladakh, which took place in June 2020. The Prime Minister was afraid. The next day 10 am in the morning, he (US President Trump) tweeted that 'I am writing at the Prime Minister's request to inform you that a joint statement is coming soon.' The first announcement of a ceasefire in Operation Sindoor came from Washington, and the White House was the first to tweet that a joint statement would be released. Action is there (in the US); here, it is just reaction. There is pressure." "The Prime Minister always calls him 'my friend' and praises him, while Trump does not pay heed to it and imposed tariffs. Budget will be discussed in Parliament from Monday, and not just Congress, but all parties will raise the matter in the House. But they are calling it interim; this is just headline management. There were questions being raised. He asked the Defence Minister to tell the Army General 'Jo uchit ho vo karein' (Do what you feel is right). So, to divert attention, he asked Trump to make the announcement," he added.

Concerns Over Trade Deal Framework

Rahul Gandhi had cited former Army Chief General MM Naravane's memoir to raise the issue of the 2020 standoff with China. Further, Jairam Ramesh raised concerns about the trade deal framework, as the White House confirmed that India had agreed to stop importing Russian oil. He said that the reduction in import duties on agricultural products will benefit American farmers at the cost of their Indian counterparts.

Jairam Ramesh said, "Namaste Trump jeete, Howdy Modi haare. The joint statement issued is not very detailed. We will not purchase Russian oil, and if we do, a fine will be imposed on us in the form of 25 per cent tariffs. Second, we will either reduce or remove import duty on agricultural imports from the US. This means that we will benefit the American farmers while neglecting the Indian farmers." "Our imports from the US will increase three times every year. This means our trade with the US, which is in surplus, will become a deficit. There is no mention on IT and service sector. Export duty on Indian products is increasing. This trade deal is in America's interests. Everything will become very clear when details of this deal emerge," he added.

'India's interests have been sold out'

Congress leader Udit Raj also raised doubts over the claim that India will stop purchasing Russian oil, and asked for a debate in the Parliament. "Indian farmers will not be able to compete with the quality and price of US products. The agreement includes many points, including that the Indian government has agreed not to buy oil from Russia. So, instead of cheap Russian oil, we will bring oil from Venezuela and America, but transportation costs will be very high, and our refineries are calibrated for crude oil from the Gulf and Russian oil. But our machinery is not calibrated for oil from Venezuela or for the oil that will come from America, which will come from a great distance, making it very expensive. This doesn't make sense. There should be a clause-by-clause debate on this in Parliament. More clarity will emerge, but in a way, India's interests have been sold out. The Modi government has surrendered," Udit Raj said.

India-US Joint Statement Details

This comes after India and US announced a framework for an Interim Agreement regarding reciprocal and mutually beneficial trade. The joint statement said that the framework reaffirms the countries' commitment to the broader Bilateral Trade Agreement (BTA) negotiations, launched by President Donald Trump and Prime Minister Narendra Modi on February 13, 2025, which will include additional market access commitments and support more resilient supply chains.

As per the joint statement, the US will apply a reciprocal tariff rate of 18 per cent on Indian originating goods, including textiles and apparel, leather and footwear, plastic and rubber, organic chemicals, home decor, artisanal products, and certain machinery.

The United States will also remove tariffs on certain aircraft and aircraft parts from India, which were imposed to address national security threats, the joint statement said.

According to the statement, India will eliminate or reduce tariffs on all US industrial goods and a wide range of S food and agricultural products, including dried distillers' grains (DDGs), red sorghum for animal feed, tree nuts, fresh and processed fruit, soybean oil, wine and spirits, and additional products. India also intends to purchase USD 500 billion of US energy products, aircraft and aircraft parts, precious metals, technology products, and coking coal over the next five years. (ANI)

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