Trade wars benefit no one; we believe in power of open markets, free and fair competition
(Source – The Hindu, International Edition – Page No. – 5)
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Topic: GS2 – International Relations |
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Context |
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U.S. Tariff Policies and Trade Wars
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Trade wars benefit no one, and tariffs hurt both consumers and businesses.
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Italy hopes for zero tariffs, advocating for open markets, fair competition, and a level playing field for all.
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The U.S. decision to pause its tariffs plan for 90 days is seen as a positive step towards negotiations.
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Italy aims to engage constructively with the U.S., prioritizing dialogue and avoiding transatlantic divides.
EU-India Bilateral Trade and Investment Agreement (BTIA)
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Italy and the EU are optimistic about finalizing the EU-India BTIA by the end of the year.
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Political momentum for the agreement is stronger now, with support from both the European Commission and Indian leadership.
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Previous delays in the BTIA were caused by issues like tariffs and market access for wine, spirits, agriculture, and dairy products.
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Italy seeks a mutually beneficial and balanced trade agreement with India, recognizing that every trade relationship is unique.
Middle East-Europe-India Corridor (IMEC)
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The IMEC’s full potential depends on peace and stability along the route, particularly between the UAE, Saudi Arabia, Jordan, and Israel.
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Until peace is achieved, it will be challenging to realize the full potential of the corridor.
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However, Italy views the IMEC as a beacon of hope, acting as a catalyst for regional stability.
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Italy is offering the port of Trieste as a hub for the project and focusing on key infrastructure development.
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Practice Question: Examine the significance of the India-EU Bilateral Trade and Investment Agreement (BTIA). What are the key challenges and opportunities in finalizing this agreement? (150 Words /10 marks) |
