NEW DELHI: The government on Friday rejected reports suggesting that New Delhi might suspend the proposed trade deal with the US in view of the Trump administration launching a new “unfair practices” probe against India and some other countries.

The claim that India will hold off the trade deal with the US is incorrect and misleading, top government sources said.

The clarification came following reports that India will delay the finalisation of the trade deal following the launch of the probe.

India and the US are engaged in talks to firm up an ambitious bilateral trade deal.

The US has initiated investigations against some of its trading partners, including India, China, Japan and the European Union, to look into and address “unfair foreign practices” that adversely impact American manufacturing.

United States Trade Representative (USTR) Jamieson Greer announced the initiation of a probe regarding the “acts, policies, and practices” of various economies under Section 301(b) of the Trade Act of 1974, relating to structural excess capacity and production in manufacturing sectors.