NEW DELHI: India and the US will sign a pact on semiconductors on Friday after launching a track on smoothening strategic trade that is hampered due to several global and national rules and processes.
US Commerce Secretary Gina Raimondo said an MoU would be the first step in this direction. Most global majors want to refocus the hi-tech semiconductor foundry and packaging processes away from over-dependence on a handful of countries, especially China and also Taiwan, in case of a conflict.
Raimondo will participate in the India-US Commercial Dialogue and the CEO Forum on Friday to discuss cooperation in sectors that could unlock new trade and investment opportunities between the two nations, said the Commerce Ministry. The India-US Commercial Dialogue, which she and Commerce Minister Piyush Goyal will host, is being held after a pandemic-induced gap of four years. Raimondo is accompanied by US CEOs but said they had no specific investment commitments.
Raimondo said at the virtual press conference that she had “excellent and productive discussions” with Indian ministers including S Jaishankar, Nirmala Sitharaman and Dharmendra Pradhan here on Thursday.
The MEA said talks between Jaishankar and Raimondo covered “ongoing efforts to deepen the economic and commercial engagement” including through the initiative on Critical and Emerging Technology (iCET) and the Indo-Pacific Economic Framework (IPEF). “They also concurred on the need for increased bilateral strategic and high technology trade given the shared priorities of both countries in building resilient and trusted global supply chains,” said the MEA.
In this context, EAM and Secretary Raimondo agreed to launch an India-US Strategic Trade Dialogue, led by Foreign Secretary from Ministry of External Affairs of India and Under Secretary, Bureau of Industry and Security in US Department of Commerce. The Strategic Trade Dialogue will address export controls, explore ways of enhancing high technology commerce and facilitate technology transfer between the two countries.