FX.co ★ India Prioritizes Dialogue Over Retaliation in U.S. Tariff Row

India is not expected to immediately respond to President Trump's recent imposition of a 26% tariff on US imports from India. Instead, it is concentrating on negotiating a bilateral trade agreement aimed at reducing these duties, as reported by Reuters, citing an unnamed government official. New Delhi is opting for dialogue over confrontation, leveraging its strategic advantage in the region. The focus is on achieving a balanced and equitable agreement that includes both goods and services. Indian officials are maintaining communication with exporters to evaluate potential impacts and provide support as necessary. This careful approach highlights India's preference for diplomacy, distinctly different from China's swift response with a 34% tariff on US goods. In February, Indian Prime Minister Narendra Modi visited Washington, where both countries expressed their commitment to pursuing a trade agreement by year's end.