India-Oman CEPA: A Strategic Shield Against US Tariffs Amid Global Trade Shifts

• India and Oman signed a Comprehensive Economic Partnership Agreement (CEPA) in Muscat, aiming to diversify trade amidst rising US tariffs.
• The deal is India's second major FTA in six months, following the UK agreement, as New Delhi seeks stable export markets and reduces vulnerability to punitive US duties.
• Oman offers zero-duty access on over 98% of its tariff lines for Indian exports, covering key sectors like textiles, gems, pharmaceuticals, and auto components.
• The CEPA boosts the service sector, allowing 100% FDI for Indian firms in Oman and facilitating professional mobility with extended stay durations.
• Expected to take effect in Q1 2026, the agreement strengthens India's trade resilience and strategic presence in the Gulf region, especially after stalled GCC talks.

Why It Matters: India's CEPA with Oman strategically diversifies trade, mitigating US tariff impacts and boosting Gulf ties.