US Pushes for E-commerce Access in India

The US administration is actively negotiating with India to grant full market access to major online retailers such as Amazon and Walmart within its booming £125 billion e-commerce sector. These discussions are part of broader trade talks, underscored by potential tariff increases.

Significant Progress in Trade Negotiations

Following a meeting between US Vice-President JD Vance and Prime Minister Modi, both parties acknowledged significant advancements towards a mutually beneficial trade agreement. The talks also highlighted collaboration in energy, defence, and strategic technologies.

Challenges and Opportunities

India's current regulations limit US e-commerce firms to operating as online marketplaces for third-party sellers, a policy Washington views as a non-tariff barrier. Meanwhile, domestic competitors enjoy more flexibility, creating a competitive imbalance.

The US's efforts to expand retail access in India set the stage for a showdown between American retail giants and Asia's wealthiest individual, Mukesh Ambani, whose Reliance group dominates the Indian retail market.

As negotiations continue, the outcome of these talks could redefine the e-commerce landscape in India and strengthen US-India trade relations.