New Delhi– Union Commerce and Industry Minister Piyush Goyal confirmed Tuesday that India and the United States are making significant progress toward finalizing the first tranche of a long-anticipated Bilateral Trade Agreement (BTA), with both sides aiming to lower tariffs well ahead of the original timeline.
Goyal held discussions with U.S. Commerce Secretary Howard Lutnick this week and described the talks as productive, emphasizing the mutual commitment to accelerating the process. “Good discussions with Secretary @HowardLutnick towards expediting the first tranche of the India-U.S. Bilateral Trade Agreement,” Goyal posted on social media platform X.
With the terms of reference for the deal already finalized, both countries are now working to conclude the initial phase of the agreement before the fall of 2025. The deal is expected to mark a significant step forward in deepening economic ties between the two countries.
India has made a strong case for the trade agreement, citing its long-term growth potential and favorable demographic trends. “Looking at India’s projected growth over the next 25 to 30 years, with a large, aspirational, and young population, we believe India offers a compelling case for a strong trade agreement with the U.S.,” Goyal said during a media briefing earlier this month.
A reduction in tariffs between the two economies could substantially boost bilateral trade volumes. During Prime Minister Narendra Modi’s recent visit to Washington, D.C., both leaders reaffirmed their commitment to expanding economic cooperation, setting a goal of reaching $500 billion in bilateral trade by 2030.
Former President Donald Trump recently claimed that India had offered to eliminate all tariffs on American goods, but he added that he was in “no rush” to finalize a deal despite what he described as a breakthrough in talks.
Meanwhile, India’s External Affairs Minister S. Jaishankar cautioned that the negotiations remain complex and far from complete. “Trade talks between India and the U.S. are ongoing, and they are complicated. Nothing is agreed until everything is agreed,” Jaishankar told reporters last week. “Any trade deal has to be mutually beneficial. It has to work for both countries. Until that happens, it would be premature to draw conclusions.”
While the exact timeline for the first phase of the agreement remains fluid, both nations appear committed to reaching a deal that enhances trade, lowers tariffs, and supports broader economic cooperation. (Source: IANS)
