Washington DC— US President Donald Trump on Tuesday suggested that Washington and New Delhi are moving closer to finalising a new trade deal, hinting at plans to reduce tariffs on India “at some point.”
Speaking at the swearing-in ceremony of Sergio Gor as the new US Ambassador to India, Trump said, “We’re making a deal with India — much different than we had. Right now, they don’t love me, but they will love us again. We’re getting a fair deal. They’re very good negotiators, so Sergio, you will have to take a look at that. I think we’re pretty close to doing a deal that is good for everybody.”
Later, while addressing reporters at the Oval Office, the President confirmed that tariff reductions are being considered as part of the negotiations. “Right now, the tariffs are very high on India because of the Russian oil, and they’ve stopped doing the Russian oil. It’s been reduced very substantially. Yeah, we’re going to be bringing the tariffs down. At some point, we’re going to be bringing them down,” Trump stated.
The remarks come amid ongoing discussions over a Bilateral Trade Agreement aimed at boosting economic ties between the two nations. India’s Commerce and Industry Minister, Piyush Goyal, recently noted that while talks were “going on very well,” several “sensitive and serious issues” remain to be addressed before a final agreement can be signed.
Negotiations for the trade deal, formally initiated in February 2025, have gone through five rounds of discussions so far. Both sides aim to double bilateral trade from the current USD 191 billion to USD 500 billion by 2030.
High-level meetings held in September between Goyal and senior US officials, including Assistant US Trade Representative Brendan Lynch, were described as “positive and forward-looking,” with both sides agreeing to accelerate efforts for an early conclusion of the agreement.
The proposed deal, once finalised, is expected to reshape trade relations between the two democracies, focusing on technology exchange, energy cooperation, and reduced trade barriers.
