India-US bilateral talks: The engagement between the two countries came in the backdrop of the USA’s threat to impose reciprocal tariffs on its key trading partners, including India, on April 2.
India-US bilateral talks: India and the US have agreed to conduct sector-specific discussions in the coming weeks to finalise the framework of the proposed Bilateral Trade Agreement (BTA), the government announced on Saturday. This development follows the US’s warning of imposing reciprocal tariffs on key trading partners, including India, starting April 2.
India-US trade talks
The decision to hold discussions in the coming weeks comes after four days of talks between senior officials from India and the US, which concluded on Saturday. “Sectoral expert-level engagements under the BTA will start virtually in the coming weeks and pave the path for an early negotiating round in person,” the ministry said.
In a statement, the commerce ministry said to realise the shared objective of promoting growth that ensures fairness, national security and job creation, both sides broadly come to an understanding on the next steps towards a mutually beneficial, multi-sector BTA, with the goal to finalise its first tranche by fall (August-September) 2025.
Through the agreement, the two countries are looking to increase market access for their goods, cut tariff and non-tariff barriers and deepen supply chain integration in a mutually beneficial manner, it added. “Both sides look forward to building on this milestone in the coming months to finalise the BTA, ensuring it aligns with the shared goals of prosperity, resilience, and mutual benefit,” it added.
A team of US officials, led by Assistant US Trade Representative for South and Central Asia Brendan Lynch, visited India to finalize the framework and terms of the proposed trade agreement, which aims to more than double bilateral trade to USD 500 billion by 2030.
The meeting followed Commerce and Industry Minister Piyush Goyal’s visit to Washington from March 4-6, where he met US Trade Representative Jamieson Greer and Commerce Secretary Howard Lutnick. Subsequent video conferences between the two sides further advanced discussions.
Trump praises PM Modi amid India-US tariff talks
On Friday, US President Donald Trump described Prime Minister Narendra Modi as a “very smart man” while emphasising that tariff talks would “work out very well between India and our country”.
The remarks assume significance since Trump has repeatedly criticised the alleged high tariffs charged by India and other countries on American goods. He has announced plans to impose reciprocal tariffs on its key trading partners, including India, on April 2.
“India is one of the highest tariffing nations in the world. It’s brutal, it’s brutal. They’re very smart. He (Modi) is a very smart man and a great friend of mine. We had very good talks. I think it’s going to work out very well between India and our country,” Trump said.
(With PTI inputs)
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