India-US engagement (representative image), Wikimedia Commons, GODL-India
India-US trade deal: Where things stand
India and the US remain in talks on a bilateral trade deal, with officials hopeful of a framework agreement by year-end, even as the outcome hinges partly on fresh Section 301 tariff probes into India’s competitors.
India and the US are continuing negotiations on a bilateral trade deal.
The two sides reached an initial understanding in February 2026.
US officials visited India on September 16, and Piyush Goyal led an Indian delegation to the US on September 22.
India is hopeful of a framework agreement by year-end.
The deal would aim to address tariff issues for Indian exporters.
India is reportedly likely to face an additional 8% tariff under a related excess-capacity probe, which would take its overall rate to around 18%.
A full trade deal may depend on the US opening fresh Section 301 probes into India’s competitor countries, which would help restore a tariff margin India has lost.
US officials visited India on September 16 for talks.
Commerce and Industry Minister Piyush Goyal led an Indian delegation to the US for trade talks on September 22.
Commerce Secretary Rajesh Agrawal has said India is hopeful of reaching a framework trade deal with the US this year.
Officials have said a framework deal would aim to address tariff issues to the benefit of Indian exporters.
Bilateral trade talks between India and the US have continued across multiple rounds through 2026.
Trade negotiations of this scale typically involve discussions across multiple sectors, including agriculture, technology and manufacturing.
India’s exports to the US span sectors including textiles, pharmaceuticals, IT services and engineering goods.
Tariff uncertainty has previously been cited by Indian exporters as a factor affecting planning and investment decisions.
A framework trade agreement typically sets out broad terms, with detailed sector-specific provisions negotiated in subsequent phases.
Indian industry bodies have periodically engaged with both governments during the course of these negotiations.
Bilateral trade between India and the US has grown significantly over the past decade across goods and services.
India and the US are continuing negotiations on a bilateral trade deal.
India-US engagement (representative image), Wikimedia Commons, GODL-India