US President Donald Trump on Wednesday signaled progress in ongoing trade negotiations with India, stating the two sides were close to finalizing an agreement. "We are very close to the deal," Trump told reporters on the sidelines of the G7 Summit, according to the Times of India.
USTR Chief Visit Scheduled
The latest comments come days after the government announced that US Trade Representative Jamieson Greer will visit India on June 23-24 for talks with Commerce and Industry Minister Piyush Goyal. The discussions aim to give final shape to the agreement. Commerce Secretary Rajesh Agrawal said earlier this week: "Our expectation is that discussions will be centred around giving final touches to the framework deal... and also on the larger BTA (bilateral trade agreement)." Greer's visit follows negotiations held in New Delhi earlier this month between Indian officials and a US delegation led by chief negotiator Brendan Lynch.
Most Issues Settled, Says Goyal
Piyush Goyal earlier this month said most elements of the proposed pact had already been agreed upon. "...mostly everything is finalised. As you know, US Ambassador Sergio Gor said that 99 per cent of the things have been finalised. Discussions are going on about small issues, commas and full stops," Goyal stated on June 1. He expressed confidence that the first phase of the bilateral trade agreement would be concluded and signed soon. At the negotiators' level, both sides have discussed trade in goods, non-tariff barriers, customs and trade facilitation, economic security alignment and other areas of mutual interest.
Why the Agreement Matters
India and the US announced the framework for the first phase of the bilateral trade agreement in February. However, changes in the US tariff regime following a Supreme Court ruling against President Trump's reciprocal tariffs have prompted both countries to revisit parts of the framework. Both sides are expected to conclude the interim agreement before July 24, when the US administration's temporary 10% tariff regime is scheduled to expire.
Bilateral Trade Data
The US was India's second-largest trading partner in 2025-26. India's exports to the US stood at $87.3 billion during the fiscal year, while imports were $52.9 billion, resulting in a trade surplus of $34.4 billion.
| Metric | Value |
|---|---|
| India's exports to US (2025-26) | $87.3 billion |
| India's imports from US (2025-26) | $52.9 billion |
| India's trade surplus with US | $34.4 billion |
For importers and exporters, the imminent deal signals potential tariff relief and streamlined customs procedures. The agreement's focus on non-tariff barriers and trade facilitation could lower compliance costs, while the temporary 10% tariff expiry on July 24 adds urgency. Bilateral trade professionals should monitor the June 23-24 talks for specific sectoral outcomes.
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