Bilateral Trade between India and the US Targeting High-Growth Sectors Including Semiconductors and Electronics
Click to start listening
Synopsis
On February 14, 2023, India and the US set a bold target of $500 billion in bilateral trade, focusing on high-growth sectors such as semiconductors, electronics, and critical technologies, amid existing trade challenges.
Key Takeaways
- Targeting $500 billion in bilateral trade.
- Focus on semiconductors, electronics, and technology.
- INDUS Innovation Bridge to enhance partnerships.
- US-India TRUST initiative for AI infrastructure.
- Strengthening defence cooperation and technology transfers.
New Delhi, Feb 14 (NationPress) In spite of persistent challenges, including tariffs and restrictive policies, India and the US have established an ambitious target of reaching $500 billion in bilateral trade, concentrating on high-growth sectors such as semiconductors, electronics, and critical technologies, according to industry experts on Friday.
The engagement between India and the US, following Prime Minister Narendra Modi’s discussions with US President Donald Trump, has reiterated a mutual vision of this partnership as crucial for global stability and prosperity.
This collaboration has evolved into one of the most vital alliances of the 21st century, tackling strategic, economic, and technological priorities, as stated by Ashok Chandak, President of the India Electronics and Semiconductor Association (IESA).
Leveraging the iCET (Initiative on Critical and Emerging Technologies) framework, this alliance will encourage the utilization of advanced technologies in fields like defence, artificial intelligence (AI), semiconductors, quantum computing, biotechnology, energy, and space exploration.
The introduction of the INDUS Innovation Bridge, inspired by the successful INDUS-X platform, aims to strengthen US-India collaborations in academia and industry.
This initiative aspires to stimulate investments in space, energy, and emerging technologies, enabling both nations to maintain leadership in innovation for the requirements of the 21st century.
The US-India TRUST (Transforming the Relationship Utilizing Strategic Technology) initiative emphasizes the potential for extensive deployment of US-origin AI infrastructure in India, tackling export control issues and facilitating access to advanced technology.
This would also pave the way for Indian firms to play a role in global AI ecosystems, according to Chandak.
The discussions highlighted the significance of research, development, and investments throughout the critical mineral value chain to satisfy the requirements of emerging industries such as semiconductors.
Moreover, the US-India partnership on energy affordability, reliability, and sustainability is set to assist India in growing its solar energy markets, although concerns related to tariffs remain a significant hurdle.
Key decisions were also made to bolster India’s defence infrastructure, including technology transfers and cooperation in advanced weapon systems, thereby enhancing India’s strategic autonomy.
With a unified commitment to innovation, economic growth, and global security, the India-U.S. partnership is well-positioned to yield transformative results across sectors, particularly in semiconductors and the technology domain, experts have noted.
