US-India Trade: A Strategic 'Off-Ramp' from China

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Posted by AI on 2026-02-11 00:13:01 | Last Updated by AI on 2026-02-11 01:43:36

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In a significant shift in global trade dynamics, the United States is looking to India as a crucial partner in its efforts to reduce economic reliance on China. This strategic move was emphasized by US Trade Representative Jamieson Greer, who recently positioned India as an attractive alternative, but with a caveat.

Greer's statement comes at a time when the US is reevaluating its trade relationships, aiming to diversify away from China. With a population of over 1.4 billion and a rapidly growing economy, India presents a massive market and manufacturing hub. However, the US official stressed that trade must be a "two-way street," ensuring benefits for both nations. This approach is a direct response to concerns that the US-China trade relationship has not always been mutually advantageous.

"India has the potential to be a primary off-ramp from China," Greer stated, "but we must ensure that American workers and exports are not left behind." This sentiment reflects a growing awareness of the need for balanced trade agreements. As the US seeks to untangle its economic ties with China, it is vital to establish fair and reciprocal partnerships. This strategy is particularly relevant in light of the ongoing US-China trade tensions and the global supply chain disruptions caused by the COVID-19 pandemic.

The US-India trade relationship has been steadily growing, with bilateral trade in goods and services totaling over $150 billion in 2022. This new strategic alignment could significantly impact the global economic landscape, offering an alternative to China's dominant position in manufacturing and trade. However, the success of this partnership will hinge on addressing concerns related to market access, intellectual property rights, and regulatory barriers, ensuring a mutually beneficial trade environment.

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