India-US Trade: India is not ready to bow down on Press Note 3. What did Piyush Goyal say about China and America?

News India Live, Digital Desk: Amidst the changing equations of global trade, Union Commerce and Industry Minister Piyush Goyal has given big indications regarding India’s future strategy. Goyal has made the government’s stand clear on the controversy over the stalled trade deal with America and investment coming from China. While on one hand the talks with America are in a ‘wait and watch’ state, on the other hand the rules of ‘Press Note 3’ are not going to be relaxed for China. Trade Deal with America: Why is the talk on ‘brake’ now? The important meeting of the proposed Interim Trade Pact between India and America was recently postponed. The main reason behind this is the sudden change in American policies. Supreme Court’s decision: After the US Supreme Court declared President Trump’s Global Tariffs unconstitutional, the tariff structure is being recalibrated in Washington. Goyal’s statement: Piyush Goyal made it clear that as soon as the situation regarding tariffs in America becomes clear, India will return to the negotiating table. He said, “We are waiting for more clarity in the situation.” Proposed concessions: Under the deal, the US was considering reducing the reciprocal tariff on India from 25% to 18%. Press Note 3 and Chinese investment: No compromise on security. The government’s policy on ‘Press Note 3’ (PN3) remains a topic of discussion amid the demand from the industry and improving relations with neighboring countries. What is Press Note 3? Under this rule, implemented in 2020, any investment coming from countries that share land borders with India (mainly China) is required to seek mandatory government approval. Ban on opportunistic acquisitions: Goyal reminded that this rule was brought in to protect Indian companies from foreign takeover during the pandemic. Calibrated approach: The minister indicated that the government may adopt a ‘step-by-step’ approach regarding Chinese investment. However, it is not completely banned, but the security vetting and approval process will be kept strict. Dialogue with Industry: The Ministry is currently in dialogue with the domestic industry to understand in which sectors Chinese technology and investment is really required. ‘New innings’ will begin with Canada too. Goyal gave an update on trade relations not only with China and the US, but also with Canada. Mark Carney’s visit: Canadian PM Mark Carney 26 February 2026 The Terms of Negotiation (ToR) for a Free Trade Agreement (FTA) are expected to be finalized during PM Modi’s visit to India.