India Aims to Finalize Trade Deal with US by Fall 2025: EAM Jaishankar

New Delhi(The Uttam Hindu): India is poised to become the first country to secure an understanding with the United States to finalize a bilateral trade agreement (BTA) by the fall of 2025, External Affairs Minister S. Jaishankar revealed on Wednesday. This comes as reciprocal tariffs have been enacted, with India facing a 27 percent tariff from the US. Jaishankar highlighted that while the full impact of the US’s reciprocal tariffs remains uncertain, New Delhi is focused on cementing a trade deal to address these issues. Speaking at the ‘News 18 Rising Bharat Summit’ in New Delhi, Jaishankar explained: "We decided to engage with the Trump administration early on regarding these issues, and we were very open and constructive in our discussions. What we agreed was to negotiate a bilateral trade agreement by the fall of this year."

Following talks between Prime Minister Narendra Modi and President Donald Trump in Washington DC in February, both countries announced their intention to negotiate the first phase of the BTA by fall 2025. Jaishankar further stated, "I believe we are the only country to have reached such an understanding after President Trump began his second term." He added, "Our strategy has a clear goal: to resolve this situation through a bilateral trade agreement, which has long been a priority for us." With an ambitious target of increasing bilateral trade to $500 billion by 2030, India and the US have reached a preliminary understanding to finalize the first phase of the BTA by the fall of 2025. The Ministry of Commerce and Industry also announced that sector-specific expert-level discussions under the BTA would begin virtually in the coming weeks, paving the way for in-person negotiations soon.