US Trade Representative for South and Central Asia, Brendan Lynch, is expected to arrive in India tonight to push talks on a Bilateral Trade Agreement (BTA) with his Indian counterpart, a government source confirmed.
The next round of trade talks between India and the US will be held on Tuesday, according to the official. Rajesh Agrawal, the country's chief negotiator and Special Secretary in the Department of Commerce, represents India at the negotiations.
Over the past few months, the two nations have been working toward an interim trade pact. However, India has raised concerns over Washington’s push to liberalize its agricultural and dairy sectors—areas considered vital for the livelihoods of millions in the country.
Formal negotiations for a “just, balanced, and mutually beneficial” BTA began in March this year, with the aim of concluding the first phase of the agreement by October–November 2025.
The negotiations have come against the background of increased tariff tensions. First, US President Donald Trump imposed a 25% tariff on Indian exports, cooling hopes for an early interim pact that would have tempered high tariffs. He followed it up days later with another 25%, taking the tariff to 50%, in retaliation against India's continued purchase of Russian oil. The tariffs came into effect on August 27.
Trump's larger trade policy has been focused on "reciprocal tariffs," with countries against which the US incurs a deficit being their targets. Since the start of his second term, he has reiterated that stance, pledging his government would reciprocate duties charged by partners, such as India, to "make fair trade.
PM Modi noted India-US ties as “forward-looking” towards a “Comprehensive and Global Strategic Partnership,” in a post on X.
“Deeply appreciate and fully reciprocate President Trump’s sentiments and positive assessment of our ties. India and the US have a very positive and forward-looking Comprehensive and Global Strategic Partnership,” the Prime Minister stated in his post.
Trump, from the White House, also highlighted the robustness of the relationship. Referring to it as a "very special relationship," he said that he and PM Modi would never fall out, stating there is "nothing to worry about."Read also| 'Won’t stand for intimidation on our streets based on colour of skin': UK PM Starmer
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