Overview
- U.S. Commerce Secretary Howard Lutnick said on the All-In Podcast that the pact fell through because Prime Minister Narendra Modi did not phone President Donald Trump to close it.
- Lutnick outlined a time-bound ‘staircase’ strategy with a ‘three Fridays’ window, adding the U.S. then concluded deals with Indonesia, the Philippines and Vietnam at higher rates.
- India’s Ministry of External Affairs called the portrayal inaccurate, pointed to multiple negotiating rounds since February 2025, and reiterated interest in a balanced agreement.
- In the absence of a deal, U.S. duties on many Indian goods remain near 50%, including a 25% penalty tied to India’s purchases of Russian oil.
- India noted Modi and Trump held eight calls last year, as Washington advances legislation that could allow tariffs of up to 500% on countries buying Russian oil.