Why it is in news?
- When India and U.S. hold their first 2+2 Dialogue involving the External Affairs and Defence Ministers and their counterparts, one of the key issues would be questions regarding the recent Russia-related sanctions that have now come up as a key impediment for India’s defence modernisation.
- It is already the elephant in the room. At the dialogue it can be expected to take up a good amount of time
- The impact of CAATSA (Countering America’s Adversaries Through Sanctions Act) is still being assessed in the military circles even as policy moves from the U.S. have not been reassurin
- The U.S. Senate passed the National Defence Authorisation Act (NDAA) for 2019 without any waiver provisions under CAATSA for countries having significant defence relations with Russia.
No waivers
- The House version which was passed earlier had allowed limited waiver, which did not find place in the Senate version.
- The House version allows for waivers for 180 days, provided the administration certifies that the country in question is scaling back its ties with Russia.
- Even this would be tough for India, as it would be extremely difficult to scale down its relations with Russia, sources point out.
- According to indications, the Indian side will firmly place its objections to CAATSA during the 2+2 Dialogue as practically all major defence deals in the pipeline between India and the U.S. would be held up due to this.
Source
The Hindu