India-US trade deal: US team in Delhi; Piyush Goyal shares important update, says ‘talks are…’
In 2024-25, the US maintained its position as India’s principal trading partner for the fourth year running. (AI image)
India-US trade deal: Commerce and Industry minister Piyush Goyal on Wednesday shared an important update on the ongoing India-US trade deal talks. The US team is in Delhi this week for another round of discussions on the bilateral trade agreement.The visit holds significance as both countries are working to conclude the initial phase of the agreement. This marks the US delegates’ second visit following Donald Trump‘s implementation of a 25 per cent duty and an additional 25 per cent penalty on Indian products entering US markets, stemming from India’s Russian oil purchases. The earlier US delegation visited India on September 16.
India-US trade deal talks
“Talks are continuously progressing with them. We are moving forward towards a bilateral trade agreement,” Goyal said during the Pravasi Rajasthani Divas event according to a PTI report. He suggested a possible meeting with the visiting US delegation as well.The US delegation, headed by Deputy US Trade Representative (USTR) Rick Switzer, is visiting the national capital for a two-day trade discussion with Indian counterpart Rajesh Agrawal.The main negotiator for the US, Assistant US Trade Representative for South and Central Asia Brendan Lynch, will conduct talks with India’s chief negotiator and Joint Secretary in the Department of Commerce, Darpan Jain, the report said.Goyal headed an Indian delegation to the US for trade discussions on September 22. His earlier visit to Washington happened in May. These discussions have gained importance after Commerce Secretary Rajesh Agrawal’s recent statement expressing India’s optimism about securing a framework trade agreement this year, which could resolve tariff-related challenges for Indian exporters.Whilst acknowledging that the Bilateral Trade Agreement requires additional time, Agrawal confirmed India’s ongoing extensive discussions with the US regarding a framework trade arrangement that aims to address the reciprocal tariff issues affecting Indian export businessesOfficials from India and the US are conducting two separate negotiations, focusing on a framework trade deal addressing tariffs and a comprehensive trade agreement.Following directions from leadership in February, negotiations commenced with the aim to finalise the initial phase by fall 2025. The discussions have progressed through six rounds, with the ultimate objective of increasing bilateral trade from $191 billion to $500 billion by 2030.In 2024-25, the US maintained its position as India’s principal trading partner for the fourth year running, with bilateral trade reaching $131.84 billion ($86.5 billion exports).The US constitutes a significant portion of India’s trade portfolio: 18 per cent of total goods exports, 6.22 per cent of imports, and 10.73 per cent of total merchandise trade. Exporters emphasise the agreement’s significance, particularly as India’s merchandise exports to the US showed decline for two consecutive months, with October recording an 8.58 per cent reduction to $6.3 billion, attributed to substantial tariffs imposed by Washington.
