WASHINGTON, D.C. — A long-anticipated trade agreement between the United States and India could be nearing completion, according to White House economic adviser Kevin Hassett. Speaking to CNBC on Monday, Hassett said the two nations remain “good friends” and that the Trump administration is “still quite hopeful” about sealing a trade deal in the near future.
“I think we’re still quite hopeful. They’re good friends, and we’re hoping we can work it out soon,” Hassett said, while acknowledging that the negotiations are “complicated” due to India’s close ties with Russia. “There are a lot of different variables in the India-American relationship,” he added.
The comments came on the same day that Indian Commerce Secretary Rajesh Agrawal told reporters in New Delhi that the trade talks are “nearing closure.” Agrawal noted that discussions on the Bilateral Trade Agreement (BTA) have been ongoing through virtual rounds, with the first stage of talks progressing quickly, although no firm deadline has been set.
President Donald Trump has also recently expressed optimism about deepening economic ties with India. At a White House event last week, Trump described his conversations with Indian Prime Minister Narendra Modi as “going great” and suggested that a trade deal could be finalized by the time he visits Delhi next year.
Earlier on Monday, Trump hinted at lowering tariffs imposed on India “at some point,” suggesting a breakthrough in negotiations might be imminent.
“I think we’re pretty close to doing a deal (with India) that’s good for everybody,” Trump said during remarks at a ceremony for Sergio Gor, the new U.S. Ambassador to India.
Despite the upbeat tone from Washington, India has emphasized that any agreement must protect key domestic sectors. Commerce Minister Piyush Goyal reiterated on Tuesday that India would not compromise the interests of farmers, the dairy industry, or workers.
“We are working on a fair, equitable and balanced trade deal,” Goyal said. “The trade deal can happen tomorrow, it can happen next month, it can happen next year… but as a government, we are preparing for any contingency.”
In a move to help reduce its trade surplus with the United States, India has stepped up purchases of American energy. Minister of Petroleum and Natural Gas Hardeep Singh Puri announced Monday that India’s state-owned oil companies have signed a one-year structured contract to import about 2.2 million tonnes of LPG from the U.S. Gulf Coast beginning in 2026.
The deal represents nearly 10 percent of India’s annual LPG imports and marks the first such structured contract with the United States. Puri hailed the agreement as “a historic development,” noting that the Indian LPG market—one of the world’s largest and fastest-growing—has now opened its doors wider to U.S. exporters. (Source: IANS)
