Commerce and Industry Minister Piyush Goyal provided an update on the ongoing discussions between India and the United States regarding a potential trade agreement. Goyal mentioned that both countries are actively engaged in negotiations with the aim of reaching a fair and balanced deal in the near future.
During an interview with Doordarshan in Berlin, Goyal stated, “Our dialogue with the USA is ongoing, and our teams are actively involved in the process. Recently, our Commerce Secretary visited the US and held discussions with his counterparts. We are continuing to work closely with them, and the talks are moving forward. We are hopeful of achieving a fair and equitable agreement soon.”
Efforts to enhance trade relations between India and the US have seen progress, particularly in addressing the issue of reducing US tariffs on Indian imports, which currently stand at 50%. The goal is to elevate bilateral trade to $500 billion by 2030. Five rounds of negotiations have taken place following the directive from the leaders of both nations to pursue a proposed Bilateral Trade Agreement earlier this year.
In a recent development, Goyal led an official delegation to New York for trade discussions. These talks are crucial as trade relations between India and the US have faced challenges, notably due to the imposition of a 50% tariff by the Trump administration on Indian goods, including an additional 25% duty on imports related to Russian crude purchases.
India has criticized these tariffs as “unfair, unjustified, and unreasonable.” Despite the initial strains caused by the tariff hike, negotiations resumed on September 16 when Brendan Lynch, the Assistant U.S. Trade Representative for South and Central Asia, met with Indian officials in New Delhi. Both sides have expressed a commitment to accelerating the negotiations and striving for a mutually beneficial trade agreement at the earliest.
The proposed trade pact sets an ambitious target of increasing bilateral trade to $500 billion by 2030, a significant jump from the current $191 billion. The United States maintained its position as India’s primary trading partner for the fourth consecutive year in 2024–25, with total trade valued at $131.84 billion, including exports worth $86.5 billion.