Core Viewpoint - India has decided to engage in tariff negotiations with the United States, emphasizing that it will not rush into an agreement that harms its own interests, reflecting its growing strength in global competition [1][3]. Group 1: Tariff Negotiations - The primary focus of the tariff negotiations between India and the US is on the agricultural sector, contrasting with the auto industry focus in US-Japan negotiations [1]. - India is resistant to accepting US genetically modified crops, citing potential harm to local farmers' interests, which has led to ongoing disputes without resolution [3]. Group 2: Domestic Pressure and Political Implications - The Indian government faces significant pressure from millions of farmers who rely on agriculture for their livelihoods, making any compromise on agricultural issues politically risky for Prime Minister Modi [5]. - Opposition leaders have accused Modi of capitulating to the US, indicating a strong domestic backlash against any perceived weakness in negotiations [5]. Group 3: Government's Strategic Response - Modi's government is attempting to project strength by engaging with other nations, such as attending the BRICS summit in Brazil and visiting several African and Latin American countries to counter US economic dominance [7]. - The government is also implementing targeted tariff measures against agricultural products from key US states, while seeking to enhance trade relations with countries like Russia and the UAE to reduce dependence on the US financial system [7].

Group 1: Japan and US Trade Negotiations - Japanese Prime Minister Shigeru Ishiba and US President Trump failed to reach a consensus on tariff negotiations during their meeting at the G7 summit, raising concerns about Japan's economic stability and potential recession due to US tariffs [1][4][6] - Japan is seeking the complete removal of tariffs imposed by the US, particularly the 25% tariff on Japanese automobile exports, which is critical for Japan's economy [5][7] - The failure to reach an agreement may lead to questions regarding Ishiba's leadership ahead of Japan's upcoming Senate elections, as the tariffs directly impact Japan's most important exports [6][8] Group 2: EU and US Tariff Discussions - The EU has stated it is not prepared to accept the US's proposed 10% global tariff, with ongoing negotiations but no agreement reached yet [3][9] - EU officials emphasize the preference for a balanced and mutually beneficial outcome, while also preparing for all options if negotiations fail [10] - The EU is under pressure from the US's threat of increased tariffs if no agreement is reached by July 9, which could significantly impact their trade relationship valued at nearly $2 trillion [10] Group 3: India and US Trade Talks - The Indian government is seeking assurances from the US that no additional tariffs will be imposed once a bilateral trade agreement is finalized, with ongoing negotiations showing a hardening of positions from both sides [2][11] - India aims to include a clause in the agreement that allows for renegotiation or compensation if the US raises tariffs in the future, ensuring stability in trade relations [11][12] - Key issues in the negotiations include US demands for India to open its market for genetically modified crops and to eliminate tariffs on medical devices, which have led to intense discussions [11][12]