India is not bleeding in the US economy – it feeds it, says Aji Srivstova, founder of the Global Trade Research initiative, which claims that Washington deficits ignore the hidden excess of Americans in $ 40 billion.
In a pointed message, LinkedIn Srivastava dismantled a long-standing American story about trading imbalance with India, warning New Delhi against too much negotiation in free trade (FTA) negotiations.
While the United States reported a $ 44.4 billion trade deficit in 2012 – to improve political barbs from figures such as former President Donald Trump, Srivstosta said
“If you take into account full economic relations, the US does not work with a deficit – it is sitting in excess of $ 35-40 billion,” he wrote.
Referring to GTRi’s estimates, Srivastava outlined how the US quietly throws $ 80-85 billion from India annually. Key participants include more than $ 25 billion from Indian students studying at US universities, $ 15-20 billion from large technology firms operating in India, $ 10-15 billion through US banks and consultations, and another $ 15-20 billion through profits (GCCs). Add to this profit from Pharma, licensing, entertainment and protection, and the deficit is turned into net income.
Srivastava warned that the participants of the US talks use a short stories to push India to reduce tariffs and relaxing rules in areas such as digital trade, IS and public procurement – sectors where US companies are already dominated.
He called on Indian trade officials to “push away from inflated deficit requirements” and demand “fair, mutual conditions”. When the US refuses to recognize its broader financial income from India, Srivstosta advised to narrow down the negotiations strictly.
“Talk out of force – don’t blame,” he said.
