India is optimistic about finalizing a trade agreement with the United States by November, according to recent statements by Commerce and Industry Minister Piyush Goyal. Despite some geopolitical challenges that have influenced discussions, the Indian government aims to get negotiations back on track and conclude the bilateral trade agreement (BTA) in the near future.

Goyal addressed the Annual Global Investor Conference 2025 in Mumbai, expressing hope that the trade deal could be completed by the fall, around November, as previously discussed by leaders from both countries in February. He acknowledged that "a little bit of geopolitical issues" had taken precedence over trade issues in the negotiations with the United States.

This development comes amid heightened trade tensions, particularly after the United States imposed a 50% tariff on Indian goods. The tariff increase was allegedly due to concerns about India's crude oil imports from Russia, with the U.S. accusing New Delhi of indirectly supporting the Russia-Ukraine war.

Despite these challenges, Goyal emphasized the growing global interest in India as a trade and investment partner. He stated that India is engaged in ongoing dialogue with the U.S. regarding the BTA.

India has established "red lines" in the negotiations, particularly regarding its agricultural and dairy sectors, which it has refused to open. The country is also asserting its "strategic autonomy" in its trade relations with Russia.

Negotiations between India and the U.S. began in March, and five rounds of talks have already been completed. The U.S. delegation's planned visit to India for the sixth round of negotiations, initially scheduled for August 25, was postponed following the implementation of the 50% tariff on August 27. New dates for the sixth round are yet to be determined.

The BTA aims to significantly increase bilateral trade in goods and services, with a target of reaching USD 500 billion by 2030, a substantial increase from the current USD 191 billion.

Prime Minister Narendra Modi has also addressed the economic situation, highlighting India's 7.8% GDP growth in the first quarter, which surpassed expectations despite global uncertainties. He noted that this growth is visible across various sectors, including manufacturing, services, agriculture, and construction.

Despite the challenges posed by geopolitical issues and tariff tensions, India remains committed to pursuing trade agreements to diversify its exports and strengthen its economy. The country has already signed free trade agreements with Australia, the UAE, Mauritius, the UK, and the European Free Trade Association (EFTA) bloc. India is also actively involved in trade talks with the European Union.