On September 22, 2025, Indian External Affairs Minister S. Jaishankar met with U.S. Secretary of State Marco Rubio in New York City on the sidelines of the 80th United Nations General Assembly (UNGA) session. This bilateral meeting was the first face-to-face interaction between the two leaders since President Donald Trump imposed additional tariffs on India.

The increased tariffs, which amount to a total levy of 50% on many Indian goods, stem from India's continued imports of Russian oil. Trump's administration initially imposed a 25% tariff, followed by an additional 25% penalty linked to India's energy purchases from Russia.

The meeting occurred amidst already strained relations between the U.S. and India due to trade and diplomatic disputes that sharply escalated in August 2025. These disputes arose from India's policy of strategic autonomy, which includes its deepening ties with Russia and BRICS despite Western pressure. In February 2025, Prime Minister Narendra Modi visited the U.S. with the goal of boosting trade, agreeing to "Mission 500" to reach $500 billion in trade by 2030, and discussing defense and energy cooperation. However, the imposition of tariffs has created new challenges.

The tariffs have had a significant impact on India's exports to the U.S., with an analysis showing a 22.2% decrease in goods exports between May and August 2025. Sectors such as textiles, gems and jewelry, shrimp, chemicals, and solar panels have been particularly affected. Surprisingly, even tariff-exempt products like smartphones have seen a decline.

The meeting between Jaishankar and Rubio coincides with ongoing discussions aimed at reaching a mutually beneficial trade agreement between India and the U.S.. A delegation led by Union Commerce and Industries Minister Piyush Goyal is also in New York to meet with U.S. representatives and advance trade negotiations. Prior to this, discussions between officials from the U.S. Trade Representative and their Indian counterparts were held on September 16, 2025, with both sides expressing a commitment to intensifying efforts toward a trade deal.

Jaishankar's schedule in New York includes a series of bilateral and multilateral meetings during the UNGA week. He is also slated to deliver India's national statement at the General Debate on September 27.

The recent tariffs have led to criticism from some members of the U.S. House Foreign Affairs Committee, who warned that the move threatened U.S.-India relations. Some experts have expressed concern that the situation could unsettle mutual trust, complicate defense ties, and undermine joint regional initiatives, including the Quad.

Despite the challenges, both countries have signaled a willingness to continue negotiations and address trade concerns. How the discussions progress remains to be seen, but the meeting between Jaishankar and Rubio represents an important opportunity to de-escalate tensions and reaffirm the strategic importance of the U.S.-India relationship.