With India in dead heat of elections, US Trade Representative should hit the pause button on 301, says USINPAC
The office of US Trade Representative is due to come out with its annual report of findings about global intellectual property regimes that are negatively impacting U.S. trade and economy. While U.S. corporations like Boeing, Honeywell, and Abbot have publicly and strongly supported India’s current IPR regulations, several U.S. corporations on the other hand are pushing for India to be named as the top offender on the list.
“USTR should consider that India is right now in the midst of a hot election cycle. A new government will take office in a few weeks from now. If sanctions, or threat of sanctions, are announced now it may provoke public opinion and put pressure on political parties in India to resort to rhetoric. Any new government which takes office shall then have constrained its flexibility on U.S. – India relations, and to address this issue”, said Sanjay Puri, chairman of US India Political Action Committee (USINPAC).
In its statement, USINPAC also added, “Ironically, while the U.S. may be considering trade sanctions on India, just yesterday the World Bank released a report that says that India has now surpassed Japan to become the world’s third largest economy in terms of purchasing power parity (PPP). According to reports, using data from 2011, the International Comparison Program reveals that India went from being the world's 10th largest economy in 2005 to the world's 3rd largest in 2011. According to the report, India accounts for 6.4 percent of the world's GDP in terms of PPP, ahead of Japan's 4.8 percent, but is far below China, which generates 14.9 percent of the world's GDP in PPP terms and the United States (17.1 percent).”