New Delhi– India and the United States are likely to finalize the first phase of a bilateral trade agreement within the 90-day tariff pause announced by the Donald Trump administration, according to official sources.
The terms of reference for the deal have already been finalized, with negotiations expected to continue primarily via video conferencing. However, in-person meetings may be held in Washington or New Delhi if necessary, officials said.
Authorities are also monitoring trade flows closely to prevent other countries from using India as a transshipment hub to bypass higher U.S. tariffs. India’s Central Board of Indirect Taxes and Customs (CBIC) has been instructed to ensure Indian exporters are not rerouting goods through third countries to gain unfair advantage.
“India has been a trusted trade partner for the U.S., and such practices could damage that trust,” a senior official said.
Commerce Minister Piyush Goyal, speaking at a joint press conference with Italy’s Deputy Prime Minister Antonio Tajani on Friday, said negotiations with the U.S. were progressing well.
“India presents a strong case for a trade agreement with the U.S., especially considering our growth trajectory and demographic dividend,” Goyal said. “With a large, young, and aspirational population driving demand for goods and services over the next 25 to 30 years, we believe India is well-positioned for a robust bilateral agreement.”
He also noted that while deadlines help accelerate negotiations, the talks must prioritize national interests. “There’s no gun-to-the-head situation with the BTA. We are moving forward with caution and confidence,” Goyal added.
The bilateral trade agreement is part of a broader initiative called “Mission 500,” which aims to more than double India-U.S. trade to $500 billion by 2030.
On Wednesday, the U.S. announced a 90-day exemption from reciprocal tariffs for 75 countries that did not retaliate against American trade measures. A 10 percent baseline tariff has been imposed on other nations, with China being the primary exception. (Source: IANS)
