Can Free Trade Deal With UK Give India The Edge In Talks With Trump?

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Last Updated:May 08, 2025, 08:16 IST

While India is very hopeful of a breakthrough in India-US trade talks, it hopes that the UK FTA will convince US President Donald Trump to relax

The losses which India may suffer from the US trade tariffs can be compensated by the deal with UK. (Shutterstock Image For Representation)

The losses which India may suffer from the US trade tariffs can be compensated by the deal with UK. (Shutterstock Image For Representation)

The victory for India vis-à-vis the Free Trade Agreement (FTA) with the United Kingdom will be used as the benchmark for India’s negotiations with other countries as well as the United States.

While negotiating the FTA, India has tried to take care of the interests of farmers, labour-intensive sectors and also, more importantly, ensure more job opportunities. For example, labour-intensive sectors like sports goods, footwear, textiles, leather, jewellery, and even Indian toys will be exported in large numbers, which would be a lifeline for India’s industries and factories, especially the small and MSME sectors.

There is a rationale behind India’s tough negotiations being spearheaded by Prime Minister Narendra Modi. The losses which India may suffer from the US trade tariffs can be compensated by the deal with UK. CNN-News18 had reported earlier that India has been looking for newer markets and more options, with UK certainly being one of the choices.

Take, for example, how India—which has been exporting shrimps, fisheries extensively to US—may face high tariffs. But this is where UK has bailed us out through the FTA; it will ensure that as our exports of fisheries to UK increase and our fishermen are happy and do well.

Also, there is good news for Indians working in UK who will now get many more benefits. This will also help India push its case with many Indians working abroad in some European countries and also in the Middle East.

India is looking at taking advantage of new markets in Europe, Australia, and East Asia. It has also been working at similar FTAs in some counties like Italy. The good news with UK gives Indian negotiators the edge to push their way through. While India is very hopeful of a breakthrough in India-US trade talks, it hopes that the UK FTA will convince US President Donald Trump to relax.

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