India-US Trade Deal Likely Soon, Says US Secretary
Lutnick signals breakthrough in bilateral negotiations amid reciprocal tariff discussions, with both nations working toward mutually beneficial agreement
US Commerce Secretary Howard Lutnick has voiced strong confidence that America and India will conclude a trade agreement in the near term, indicating that negotiators from both sides have identified mutually acceptable terms.
Speaking at the US-India Strategic Partnership Forum in Washington, Lutnick stated that a bilateral deal should be anticipated “in the not too distant future,” emphasizing that the right representatives are now engaged in productive discussions.
The Commerce Secretary’s positive assessment comes as both nations have accelerated trade negotiations following President Donald Trump’s recent announcement of reciprocal tariffs targeting countries with trade imbalances, which initially included India. These tariffs were subsequently suspended for 90 days until July 8, excluding China from the pause.
Lutnick’s comments were delivered during the eighth US-India Strategic Partnership Forum (USISPF) event in Washington, highlighting the Trump administration’s priority to fast-track commercial agreements.
The optimistic remarks follow recent reports indicating India’s pursuit of full exemption from the additional 26 percent US tariff on Indian goods, as both countries work urgently to complete an interim agreement before the July 8 deadline. These developments also come after President Trump claimed India had proposed a tariff-free arrangement, which New Delhi disputed, clarifying that discussions remain active toward achieving a mutually beneficial outcome.
Earlier this week, Commerce Minister Piyush Goyal stated that both India and America are committed to providing preferential market access to each other’s enterprises, with joint teams actively developing the proposed bilateral trade framework.
“Both nations are dedicated to collaborative efforts, with each country seeking to offer preferential access to the other’s businesses as we advance the bilateral trade agreement,” Goyal remarked.
In February, President Trump and Indian Prime Minister Narendra Modi revealed plans to negotiate the initial phase of a comprehensive, multi-sector Bilateral Trade Agreement (BTA) by autumn 2025. The agreement targets more than doubling bilateral trade to $500 billion by 2030, up from the current $191 billion level.
A delegation of US officials is currently in India this week for discussions on the proposed interim trade framework. Last month, India’s lead negotiator, Special Secretary in the Department of Commerce Rajesh Agrawal, completed a four-day Washington visit. Commerce Minister Piyush Goyal also recently traveled to Washington to further advance the trade negotiations.