Reuters reports that the UK-India Free Trade Agreement will come into effect on July 15, following India's statement that its concerns over the UK's upcoming steel tariff regime have been resolved, thereby avoiding any delay in the agreement's implementation. After talks between UK Prime Minister Starmer and Indian Prime Minister Modi during the G7 Summit in France, both countries agreed to move forward with the agreement. Modi described it as a "historic milestone" for Indo-UK relations, significantly boosting bilateral trade and investment.
The long-awaited free trade agreement between the UK and India, concluded last year, links the world’s fifth and sixth largest economies. The UK government expects the agreement to increase the country’s GDP by £4.8 billion in the long term and drive a £25.5 billion rise in bilateral trade. Under the agreement, India will reduce whisky tariffs from 150% to 40% over 10 years and lower car tariffs from 100% to 10% within quotas; meanwhile, the UK will lower tariffs on Indian goods such as clothing, footwear, and certain food items. Previously, India had expressed concern that the UK’s new steel measures starting July 1—tightening duty-free quotas and increasing tariffs on excess imports—could jeopardize the agreement. On Wednesday, the Indian government stated that 85% of Indian exports would be unaffected by the UK’s steel measures, and affected product lines could still access the UK market through quota mechanisms.
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Original article: toutiao.com/article/1868304992546058/
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