New Delhi is reportedly resisting the proposed 18% tariff rate as political concerns complicate negotiations ahead of the US midterm elections

India’s interim trade deal with the US remains stalled as New Delhi reportedly refuses to accept a proposed 18% tariff rate and weighs politically sensitive agricultural concessions ahead of next month’s US midterm elections.

India wants to retain the current additional 10% levy on covered exports and could reassess negotiations after the November 3 elections, the Hindu BusinessLine reported on Sunday, citing sources familiar with the talks.

Under a framework agreed in February, Washington proposed reducing tariffs on several categories of Indian goods to 18%, from penalties of up to 50% imposed last year. In return, India agreed to lower duties on US industrial goods and selected agricultural products.

However, the negotiating landscape changed after the US Supreme Court struck down President Donald Trump’s sweeping emergency tariffs later that month.…