Trade tensions between the US and India appear to be easing as the US is willing to waive 232 tariffs on Indian steel and aluminium products, Kallanish has learned. The trade waiver may come with riders, however.

"The US has agreed to exempt a certain percentage of India's average exports in the last five years from the higher import duty, but talks are still on as India is pushing for a complete exemption," a senior government official tells television station ET Now. 

Neither the office of the United States Trade Representative or India’s trade ministry has responded to requests for official comment.

India has twice postponed imposing higher retaliatory tariffs in response to US tariffs on steel and aluminium. Trade talks which began in June have yielded positive results, as India has agreed to push back the effective date on new tariffs until 2 November. US goods and services trade with India last year is estimated at $126 billion, which is approximately one-fifth of its China trade.

The Trump administration has issued similar 232 reprieves to South Korea, in the form of relaxed quotas, and alternate agreements with Argentina, Australia, and Brazil.