India and US Fast-Track Trade Talks Ahead of Tariff Deadline

India and the United States are moving quickly to finalize a trade agreement that could offer early benefits for both sides, according to an official familiar with the matter. The goal is to finalize the initial phase of the deal before new U.S. tariffs, set to take effect next month, are implemented.

Trade officials from both countries met in New Delhi for nearly a week to discuss a wide range of topics, including market access, digital trade, customs procedures, and technical trade barriers. The discussions also focused on food safety, plant and human health regulations, and standard-setting processes. According to the official, the talks made meaningful progress, and both sides are aiming to reach a balanced and phased agreement by July.

The push for a deal comes as the Trump-era “reciprocal tariffs,” which could impose a 26% levy on Indian exports, are set to be implemented unless a trade agreement is reached. These tariffs are also being challenged legally in the U.S., adding urgency to the negotiations.

Indian Foreign Minister Subrahmanyam Jaishankar, in an interview with French newspaper Le Figaro, expressed optimism about securing an agreement before the tariff deadline. Earlier, U.S. Commerce Secretary Howard Lutnick said he was “very optimistic” about the possibility of a trade deal with India shortly. Indian Commerce Minister Piyush Goyal also described his recent meeting with Lutnick as constructive.

With both Indian Prime Minister Narendra Modi and U.S. President Donald Trump expected to attend the Group of Seven summit in Canada next week, the leaders may have an opportunity to advance the talks further. India has been among the first to actively engage with the U.S. on trade this year, with Modi offering several concessions in an effort to strengthen ties and avoid trade tensions.