Overview
- Indian officials say the tariff-focused opening tranche of the Bilateral Trade Agreement is "more or less near closure," targeting the 25% reciprocal duty plus the additional 25% penalty linked to Russian oil purchases.
- Negotiators have completed six rounds, resumed in-person talks in Washington in October, and continue virtual exchanges with no fixed deadline, with any announcement to be made on a mutually agreed date.
- Officials describe the pact as detailed and aligned with WTO norms, with a second, more complex phase to take up broader market access once the tariff package is settled.
- India is advancing a separate structured LPG procurement from the US—about 2.2 million tonnes in 2026—as a trade-balancing step kept distinct from the BTA.
- The US is seeking greater access for products such as almonds, pistachios, apples and ethanol, while India insists on protections for farmers, fishermen, dairy and small industries, even as both sides cite a $500 billion trade target by 2030 and signal optimism, including from President Trump and NEC director Kevin Hassett.