India, US Officials Discuss Trade Pact Issues On Day 1 Of Two-Day Talks

 

New Delhi : India and the US on Wednesday reviewed the ongoing negotiations for a proposed bilateral trade agreement to further strengthen economic ties, according to the commerce ministry. The two-day talks that began here are aimed at finalising a mutually beneficial trade pact. On the first day, Commerce Secretary Rajesh Agrawal met US Deputy Trade Representative Rick Switzer.

 

"The two sides exchanged views on matters related to India-US trade and economic ties, including on the ongoing negotiations for a mutually beneficial Bilateral Trade Agreement," the Department of Commerce said in a social media post. The discussions will conclude on December 11. The talks are important as the Donald Trump administration has imposed a steep 50 per cent tariff on Indian goods entering American markets. Indian industry and exporters are eagerly waiting for the conclusion of the negotiations and announcement of a deal, as the high import duties are hurting their shipments to America. Though they are exploring other markets to maintain their export profits, the US is a key destination for them as it accounts for about 18 per cent of the country's exports.

 

Initially, the US imposed a 25 per cent duty on Indian goods, citing trade deficit concerns with India, which stood at around USD 46 billion in 2024-25. An additional 25 per cent tariff was imposed later as a penalty on India for buying Russian crude. India has stated that the resolution of these tariffs would be key to firming up the first phase of the trade deal. As part of the pact, the US is seeking duty concessions on agricultural products and industrial goods. India has strongly opposed any concessions on the agri and dairy sectors. Speaking at the sidelines of the Pravasi Rajasthani Divas in Jaipur, Commerce and Industry Minister Piyush Goyal on Wednesday said talks with the US on the proposed bilateral trade agreement are progressing.

 

"Talks are continuously progressing with them. We are moving forward towards a bilateral trade agreement," Goyal told reporters. The US' chief negotiator for the pact, Assistant US Trade Representative for South and Central Asia, Brendan Lynch, is also part of the US delegation.