India is optimistic about finalizing a bilateral trade agreement (BTA) with the United States by November 2025, according to Commerce and Industry Minister Piyush Goyal. Despite recent geopolitical challenges and trade tensions, including the imposition of tariffs by the U.S., India anticipates a positive resolution and resumption of negotiations.
Goyal addressed the Annual Global Investor Conference 2025 in Mumbai, expressing hope that trade discussions would soon return to full pace. He acknowledged that "a little bit of geopolitical issues" had overshadowed trade matters in the negotiations. These remarks come amidst heightened trade tensions, particularly after the U.S. imposed a 50% tariff on Indian goods, with accusations that New Delhi was indirectly supporting the Russia-Ukraine war through crude oil imports from Moscow.
Despite these hurdles, Goyal emphasized the growing global interest in India as a trade and investment partner. He noted that discussions regarding the BTA would progress based on mutual consideration of each nation's concerns and non-negotiable parameters. India has set firm boundaries, particularly regarding its agricultural and dairy sectors, refusing to open these sectors to the US. India is also asserting "strategic autonomy" in its trade with Russia.
Negotiations between India and the U.S. began in March, with five rounds of talks completed. The U.S. delegation postponed a planned visit to India after the implementation of the 50% tariff on August 27. While no new dates have been set for the sixth round of negotiations, both countries aim to finalize the first phase of the BTA by the fall of this year. The agreement aims to more than double bilateral trade in goods and services to $500 billion by 2030, from the current $191 billion.
India has already signed free trade agreements with Australia, the UAE, Mauritius, the UK, and the four-nation European bloc EFTA. Despite the challenges, Goyal remains optimistic, stating that India is engaged in dialogue with the U.S. regarding the BTA.
