India, US Hold Crucial Talks to Finalise First Phase of Bilateral Trade Agreement

India and the United States on Tuesday held high-level talks to advance negotiations on the first phase of the proposed Bilateral Trade Agreement (BTA) , with both sides seeking to finalise the framework amid recent changes in the US tariff regime.

Union Commerce and Industry Minister Piyush Goyal met US Trade Representative Jamieson Greer at Vanijya Bhawan in New Delhi. Commerce Secretary Rajesh Agrawal and India's chief negotiator Darpan Jain also participated in the discussions, which followed chief negotiator-level talks held earlier this month.

The meeting is focused on resolving pending issues and giving final shape to the framework agreement. The two countries formally launched BTA negotiations in February 2025 and have since worked towards an interim deal aimed at expanding market access and boosting bilateral trade.

The talks have gained importance following major shifts in US trade policy. Earlier, the framework envisaged reducing US tariffs on Indian goods from 50 per cent to 18 per cent , while India proposed lowering or eliminating duties on a range of American industrial and agricultural products. However, subsequent rulings by the US Supreme Court overturned key Trump-era tariff measures, leading Washington to impose a temporary 10 per cent tariff on imports from all countries under Section 122 of the Trade Act.

With competing exporters such as ASEAN nations, Bangladesh, Sri Lanka and Pakistan now facing the same tariff rate, India is seeking a preferential advantage under the proposed pact.

As part of the framework, India has expressed its intention to purchase around USD 500 billion worth of US energy products, aircraft, technology goods, precious metals and coking coal over the next five years .

The US remains India's second-largest trading partner. In 2025-26, India's exports to the US reached USD 87.3 billion , while imports rose to USD 52.9 billion . Officials on both sides remain optimistic about concluding the first phase of the agreement in the coming weeks.