India and US Close to Finalising Trade Agreement, Talks in Advanced Stage

Negotiations Cover Nearly All Pending Issues​

India and the United States are very close to finalising a long-awaited bilateral trade agreement, with discussions now covering almost all outstanding issues, Commerce Secretary Rajesh Agrawal said on Thursday. He indicated that while negotiations are at an advanced stage, there is no fixed timeline for an official announcement.

According to Agrawal, both sides remain fully engaged in the process and continue to hold discussions across all key areas. He stressed that the agreement will be announced only when both countries feel the timing is right.

Engagement Has Remained Continuous​

Agrawal said that trade talks between India and the US have never broken down, adding that engagement has remained consistent despite challenges in the broader relationship. He maintained that both sides are approaching the negotiations with a positive and optimistic mindset.

High-Level Meetings in December​

The momentum in talks follows a virtual meeting in the last week of December between Commerce and Industry Minister Piyush Goyal and US Trade Representative Jamieson Greer. This interaction came shortly after a US delegation led by Deputy US Trade Representative Rick Switzer visited India on December 10 and 11.

US Ambassador Signals Active Engagement​

Earlier this month, US Ambassador to India Sergio Gor said that both countries are actively working to firm up the proposed trade deal. He underlined that the India-US relationship is anchored at the highest levels, noting that while differences may arise, they are ultimately resolved through engagement.

Tariffs and Other Issues Have Strained Ties​

Bilateral relations have faced pressure in recent years, particularly following the imposition of steep tariffs by the Trump administration. Additional strains emerged from other developments, including US immigration policy changes and political assertions related to regional conflicts.

Despite these challenges, Agrawal said bilateral trade between India and the US continues to show positive growth, reflecting the underlying strength of economic ties.

Optimism on Reaching a Deal​

When asked about the possibility of the trade agreement not materialising, Agrawal reiterated that India enters all trade negotiations with a constructive approach. He said both sides remain engaged and confident that the agreement can be concluded, reinforcing expectations that a deal may be announced once negotiations reach their final stage.