The White House has reiterated the strength of the US-India partnership, highlighting that President Donald Trump maintains a “very good relationship” with Prime Minister Narendra Modi and that a significant trade agreement between the two countries is close to being finalized. White House Press Secretary Karoline Leavitt, during a recent briefing, described India as a “strategic ally” in the Indo-Pacific and confirmed that trade negotiations are in their final stages, with President Trump and his commerce team expected to make a formal announcement soon.
These remarks coincide with Indian External Affairs Minister S. Jaishankar’s visit to the United States to participate in the QUAD Foreign Ministers’ Meeting, reinforcing the importance of strategic coordination between India, the US, Japan, and Australia in maintaining a free and open Indo-Pacific. On the diplomatic front, President Trump has accepted Prime Minister Modi’s invitation to attend the upcoming QUAD Summit in New Delhi, signaling a continued commitment to regional cooperation.
Simultaneously, India and the US began a fresh round of bilateral trade talks on June 26 in Washington, led by Indian negotiator Rajesh Agrawal, with the goal of finalizing an early harvest agreement before the US imposes new reciprocal tariffs on 57 countries, including India, starting July 9.
India is actively lobbying for the rollback of these retaliatory duties, including a 26% tariff on key exports, and the removal of controversial safeguard duties on steel, aluminum, and auto parts currently challenged at the WTO. In return, India expects the US to reduce its most-favoured-nation (MFN) tariffs. While most components of the preliminary deal have been resolved, a few sticking points remain, awaiting high-level political clearance. The early harvest deal is expected to pave the way for a comprehensive Bilateral Trade Agreement (BTA) by the end of 2025, with both nations aiming to double their bilateral trade volume to $500 billion by 2030, marking a pivotal moment in US-India economic relations.
