The United States and India are making notable strides toward finalizing a long-anticipated trade agreement, according to U.S. Commerce Secretary Howard Lutnick. Speaking at the US-India Strategic Partnership Forum in Washington, Lutnick expressed optimism about the outcome, saying both nations have identified common ground. He emphasized that a deal could be concluded in the near future, aligning with a July 9 deadline set by the Trump administration for finalizing several international trade agreements.
Lutnick reinforced his positive outlook through a video posted on social media, stating the strong bilateral relationship bodes well for a mutually beneficial trade pact. Meanwhile, India’s trade ministry has remained tight-lipped about the specifics, though India’s chief negotiator, Rajesh Agrawal, acknowledged that the discussions are advancing constructively and may yield favorable results soon.
To further the momentum, a U.S. trade delegation is scheduled to visit New Delhi from June 5 to 6. This follows a series of high-level exchanges, including a visit by India’s Trade Minister Piyush Goyal to Washington in May. These visits signal a growing urgency to conclude the deal before the U.S. administration’s July deadline.
The key demands from Washington include reduced tariffs—particularly on agricultural products—expanded market access for American businesses, and increased Indian purchases of U.S. defense equipment. Lutnick pointed out that current Indian tariffs, which can be as high as 100%, hinder fair competition and market entry for American companies.
In exchange, the U.S. is willing to enhance access for Indian exports. Lutnick credited the warm personal relationship between President Donald Trump and Prime Minister Narendra Modi for smoothing the negotiation process. The deal, if finalized, could mark a pivotal moment in U.S.-India economic ties, potentially reshaping trade dynamics in the Indo-Pacific region.
Source: Reuters