India, US Likely to Sign Trade Pact Within 90-Day Tariff Pause
The first phase of a much-anticipated bilateral trade agreement between India and the United States is likely to be finalized within the 90-day tariff-pause window announced by the Donald Trump administration, according to senior government sources.
Officials confirmed that the terms of reference for the agreement have already been finalized, and both sides are now moving forward with negotiations. The primary mode of discussion will be video conferencing, but in-person meetings remain a possibility. Indian negotiators may travel to Washington, or U.S. officials may visit New Delhi if necessary.
In a related development, Commerce and Industry Minister Piyush Goyal addressed the media on Friday, stating that “very good negotiations” are underway with the U.S.
“India offers a compelling case to the United States for a bilateral trade agreement,” Goyal said. “With strong growth prospects and a large, aspirational young population that will significantly contribute to global demand for goods and services over the next 25–30 years, India represents a long-term strategic economic opportunity.”
Speaking at a joint press conference alongside Italy’s Deputy Prime Minister and Foreign Minister Antonio Tajani, Goyal emphasized that while deadlines can help speed up negotiations, India will prioritize national interest over arbitrary timelines. “Deadlines are good to expedite talks, but there is no head-to-the-gun approach regarding the BTA” We remain committed to a balanced and mutually beneficial outcome,” he added.
The Bilateral Trade Agreement (BTA) under negotiation is part of a broader, ambitious initiative titled “Mission 500,” which seeks to more than double trade between India and the U.S. to $500 billion by 2030.
In a strategic move earlier this week, the U.S. administration granted a 90-day exemption on reciprocal tariffs to 75 countries that have not retaliated with their own trade barriers. For most nations, a baseline tariff of 10 percent is now in place, excluding China, which remains subject to higher levies under ongoing trade actions.
