India open to bilateral talks with developed nations, says Piyush Goyal.

Amid rising global economic friction and growing protectionism in major economies, India’s Commerce Minister Piyush Goyal signaled on Monday that the country is willing to engage in bilateral trade agreements with Western nations. Speaking at an industry event, Goyal emphasized India’s flexibility, stating that the country has “a lot of elbow room” when negotiating with developed economies. He underscored the competitiveness of Indian industries, asserting that they can outmatch global rivals provided trade remains fair. “The Indian industry is very competitive. They can beat any competition in the world if everyone sticks to the rules of the game. It’s the irregularities and unfair trade practices where we need protection through tariffs,” Goyal explained. He expressed confidence that bilateral deals with developed nations offer India equal footing and ample opportunities.

Goyal’s remarks come at a pivotal moment, as a potential trade war between India and the United States looms, which could redirect trade flows and create openings for India and other nations. The tariff policies of former U.S. President Donald Trump are likely to hasten India’s trade talks with countries and groups like the United Kingdom and the European Union. While China has countered U.S. tariffs with its own retaliatory measures—pushing global markets to record lows—the EU has opted for a more conciliatory stance. On Monday, European Commission President Ursula von der Leyen reiterated Europe’s willingness to negotiate, saying, “Europe is always ready for a good deal.” She highlighted the EU’s proposal of a zero-for-zero tariff agreement on industrial goods with the U.S., framing it as a cooperative strategy rather than a capitulation. Goyal suggested that India is well-equipped to leverage this turbulent global environment, much like it did during the Covid-19 crisis and the late 1990s, when the Indian IT sector seized the Y2K bug challenge to gain international prominence.

The minister called for unity among nations and businesses to transform these challenges into opportunities. “We’re all in this together. All well-meaning countries and businesses must address these challenges collectively and turn them into opportunities. We need to support each other and maintain a nationalist outlook,” he urged, encouraging Indian firms to embrace collaboration and a shared sense of purpose. Drawing inspiration from Mahatma Gandhi’s 1931 speech to FICCI, Goyal stressed that nationalism should guide Indian industry. He praised Prime Minister Narendra Modi for exemplifying this ethos through his vision of Viksit Bharat, which prioritizes inclusive growth and economic upliftment for all, as noted in a ministry statement. Goyal also cautioned against the pitfalls of low-cost goods, which may seem appealing short-term but can damage businesses and economies over time. “We’ve seen this play out in several parts of the world, where supply chains have collapsed due to over-dependence on a single geography,” he warned, highlighting the risks of such vulnerabilities. Through these remarks, Goyal positioned India as a proactive player ready to navigate and capitalize on the shifting global trade landscape.