September 17, 2025
Talks were postponed following Washington’s move to impose an additional 25% levy on Indian goods, raising tariffs to 50%
US chief negotiator Brendan Lynch will meet his Indian counterpart Rajesh Agrawal to advance work on a bilateral trade agreement
Both countries have set a target to conclude the first phase of the deal by November 2025
Negotiations had earlier collapsed after five rounds due to disputes over Russian oil imports and India’s farm and dairy markets
India will resume bilateral trade discussions with the United States on 16 September, commerce secretary Sunil Barthwal confirmed. Washington’s chief negotiator Brendan Lynch is scheduled to arrive in New Delhi late Monday for talks with his Indian counterpart Rajesh Agrawal, special secretary in the commerce department.
The negotiations, originally planned for 25 August, were postponed after the US imposed an additional 25% levy on Indian goods from 27 August, penalising New Delhi for continuing purchases of Russian oil. The move raised US tariffs on Indian exports to 50%, making India one of the most heavily penalised trading partners.
Barthwal said discussions were continuing at diplomatic, ministerial, and negotiator levels, and stressed that both sides remained positive about resolving trade issues. He noted that the talks this week would help decide the next steps in advancing the deal.
The restart of negotiations reflects efforts by both countries to deepen economic ties despite strains over tariffs, market access, and Washington’s objections to India’s farm and dairy policies. The talks will also cover goods and services trade, investment rules, and supply chain resilience.
The two governments had earlier set a target of finalising the first tranche of the agreement by November 2025. The decision to resume talks came after US President Donald Trump and Prime Minister Narendra Modi jointly expressed confidence on 10 September that negotiations would reach an early conclusion. Modi highlighted the strength of the India-US partnership and said the talks would unlock the “limitless potential” of the two economies.
Agrawal said virtual meetings had been taking place almost every week but had delivered limited progress. The New Delhi discussions, he said, would not be treated as the sixth round of formal talks but rather as a reset aimed at building momentum.
Trade negotiations had earlier stalled after five rounds amid US demands that India halt Russian oil imports and open its farm and dairy markets. India resisted, saying it was being unfairly singled out over energy purchases and that it would take all necessary steps to protect its national interests and economic security. New Delhi also moved to expand trade ties with other partners, including China.
Source: Mint