India is likely to closely watch the ongoing trade tension between the United States and China, according to Tanvi Madan, Senior Fellow at the Brookings Institution, as per a report by ANI. While addressing the Carnegie Global Tech Summit, Madan stated that the traffic conflict between the two global powers could have a mixed effect on India.
In an interview with ANI, Madan explained the scale of tariffs being implemented has resulted in some to even term it as a trade embargo. She pointed out that India could discover new openings as global trade dynamics shift. ”There are Indian products that may get easier entry to US markets or even replace Chinese imports if a US-India trade deal moves ahead,” she stated.
However, she also warned that there might be challenges, too. Since India imports a major amount from China and exports a huge amount to the US, it could impact both sides. One of the concerns she pointed out was the possibility of dumping Chinese goods. ”If China can’t sell to the US, it will look for some other markets- possibly Europe, India and Global South- where Indian products also compete. This could escalate competition for Indian exporters,” Madan added.
She also underlined India’s growing partnership with the US, Madan stated significant notable developments in the security domain. She pointed out that after the 26/11 Mumbai attacks, in which both Indians and Americans got killed, the two countries have expanded cooperation in crucial sectors.
”There’s been closer partnership in homeland security, counterterrorism and intelligence sharing,” she mentioned. The collaboration will also include legal coordination for extraditions, working groups on terror designation, and strict law enforcement ties.
Madan concluded that both the countries are now experiencing the benefits of a broader strategic partnership. Although, as of now, the US-China trade conflict has uncertainty, she believes India’s strategic stand and its increasing cooperation with the US could assist it to follow the changes more effectively.
(With inputs from ANI)