India's Diplomatic Balancing Act: Navigating US Sanctions

India is urged to diplomatically manage US sanctions on its entities to safeguard business interests. The think tank GTRI suggests enhancing export controls and compliance to prevent future sanctions. Recent US actions target Indian companies allegedly aiding Russia's military, highlighting the importance of adhering to international trade regulations.

India faces a diplomatic challenge as it seeks to navigate US-imposed sanctions on certain Indian entities, potentially impacting its business interests. The Global Trade Research Initiative (GTRI) advises enhanced diplomatic engagement with the United States and international bodies to seek resolutions and avoid future sanctions.

In recent actions, the US has sanctioned nearly 400 entities and individuals, including Indian companies, for allegedly supporting Russia's military in Ukraine. The US Department of Commerce further expanded its entity list to include Indian businesses presumed to have redirected American-made goods to Russia's defense sector.

GTRI emphasizes the necessity for Indian businesses to comply with trade regulations to prevent inadvertent support for sanctioned entities. The report suggests that India might address these concerns at the World Trade Organization, should international trade rules or Indian business interests be compromised.

(With inputs from agencies.)