U.S., India Seek Compromises on Nuclear Deal

U.S. and Indian negotiators this week discussed several compromise solutions to key disagreements that have barred the completion of a bilateral nuclear trade deal, The Hindu reported today (see GSN, May 2).

Indian Foreign Secretary Shiv Shankar Menon met Monday and Tuesday in Washington with U.S. Undersecretary of State Nicholas Burns to try to break an impasse that has stalled progress on the deal.  The two nations have signed an agreement of principles on the trade pact but have not completed a detailed deal specifying the equipment and technology India could receive and the conditions surrounding those sales.

A U.S. statement this week suggested a final agreement could be achieved this month.

India has been seeking relief from two components of U.S. nuclear nonproliferation laws that were not eased as part of a sweeping exemption granted by the U.S. Congress late last year.

The first issue centers on the “right of return” clause of U.S. law that would enable the United States to demand the return of nuclear equipment and material sold to India if New Delhi tests a nuclear weapon, according to The Hindu.

One compromise under consideration is to adopt “all or nothing” language that would keep the U.S. right of return but make such a move practically impossible by forcing Washington to take back everything it provided, not just some key pieces of equipment or materials.

Still, such a solution would continue to limit India’s freedom to test again, a restriction opposed by many Indian government and nuclear leaders.

India has been unwilling to commit to any legally binding testing restriction, but it could be willing to agree to continue its unilateral moratorium until another nation tests a nuclear device.  Officials have been exploring whether such a policy would satisfy Washington, The Hindu reported.

A second contentious issue focuses on the U.S. refusal to provide uranium enrichment technology to India or to allow India to separate plutonium from reactor fuel originally provided by the United States.

The two sides are exploring whether they can agree to “neutral” language on this subject that would require each nation to adhere to its own rules without specifically mentioning enrichment or reprocessing.

Above all, India has been demanding a U.S. promise not to prevent other nations from providing nuclear fuel in case the United States cuts off its own supplies to India, according to The Hindu (Siddharth Varadarajan, The Hindu, May 4).

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