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India-US trade negotiations hit top gear, American delegation extends Delhi stay
Originally set to leave Friday, the US team will stay in Delhi till Tuesday (June 10) as talks intensify ahead of the key July 9 deadline.
New Delhi: Intensive trade negotiations between India and the US gained momentum, with an American delegation extending its stay in New Delhi until next week as both sides work to finalise an early portion of their bilateral trade agreement, people aware of the matter said on Friday.
The American negotiation team led by assistant US Trade Representative Brendan Lynch arrived in India on Wednesday and began face-to-face bilateral talks that stretched late into Thursday, according to one person familiar with the discussions.
“The discussions are positive and progressive, and moving in the right direction,” said one person, describing Friday’s conversations as “continuing in a similar manner.”
Originally expected to wrap up their visit after Friday, the American team will now remain in Delhi until Tuesday (June 10), this person added, signalling the hectic nature of the negotiations as both countries race to beat a crucial July 9 deadline.
The focus is on achieving common ground for greater market access by eliminating tariffs and non-tariff barriers before July 9, when an additional 16% reciprocal tariff on Indian goods is set to take effect unless an interim deal is reached, people aware of the matter have previously explained.
“During the visit of the US delegation, both sides are engaged in detailed discussions on various aspects of the proposed BTA in order to forge a pathway to realise the vision for bilateral trade and economic ties as laid down by the leaders of the two countries during their meeting in February 2025,” a second person said.
“An early harvest deal—mostly related to tariff reductions on goods and elimination of non-tariff barriers—could be finalised during the ongoing New Delhi round, provided both sides reach agreement on all matters involving the early deal,” said the person quoted in the first instance.
Speaking from Brescia, Italy, on Thursday, Goyal told PTI that negotiations were progressing well and more US officials would reach New Delhi on Friday to join discussions with their Indian counterparts.
The negotiations are complex and taking time because of the other American tariffs on specific Indian goods such as steel, aluminium, automobiles and auto components, the first person quoted above added. “As per the leaders’ statement, the deal between the two sovereigns must be mutually beneficial, hence all trade-related issues have to be addressed accordingly,” he said.
The tariff disputes have created parallel tracks in India-US relations, with New Delhi maintaining World Trade Organisation complaints against American measures while simultaneously pursuing bilateral solutions through the BTA framework.
