• CAATSA was passed last year to impose sanctions on any country carrying out significant defence and energy trade with Russia, Iran and North Korea.
• The law took away the USA’s presidential powers to decide on such matters.
• The U.S. will introduce a presidential waiver in controversial Countering America’s Adversaries Through Sanctions Act (CAATSA).
• This will help India and USA prevent a standoff over India’s decision to go ahead with Russia’s S-400 Triumf missile system deal.
• Earlier there was a threat of sanctions by the U.S. under CAATSA.
• India a three-fold case for the waiver to but S-400 Triumf system:
• No weapons India bought would be used against the U.S.
• The sanctions would hamper India’s military abilities, a key partner of the USA in Indo-Pacific
• India has significantly reduced its dependence on Russian military hardware while increasing defence purchases from the U.S.A.
• The resolution of CAATSA-related sanctions is welcome.
• However, it is not the only problem in the U.S.-India relationship.
• The ‘2+2 dialogue’ of the External Affairs and Defence Ministers can be used to discuss:
• The sanctions proposed by the USA for energy trade with Iran measures at the World Trade.
• Organization over tariffs and counter tariffs imposed on each other.