Commentary Type

Effects of Trade, Investment, and Industrial Policies in India

Testimony submitted to the United States International Trade Commission Hearing on Trade Investment, and Industrial Policies in India: Effects

Body

Congress should exercise care in rendering unilateral verdicts on Indian trade and investment policies and avoid making judgments based on sectoral interests that carry the risk of punitive actions. Given the potential for further integration, as India’s growth revives, the shared security and strategic interests between the two countries and the likelihood of political change in India, the focus should be on building a framework to address frictions and revive cooperation. Moving toward an eventual free trade agreement can provide such a framework.

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