India and the United States are scheduled to begin three days of talks in New Delhi on December 10, focusing on the first phase of their proposed bilateral trade agreement. These discussions are considered crucial as both nations aim to finalize the initial components of the agreement. The talks are expected to conclude on December 12 but are not considered a formal round of negotiations.
The U.S. delegation will be led by Deputy United States Trade Representative (USTR) Rick Switzer. This marks the second visit by U.S. officials since Washington imposed a 25% tariff, along with an additional 25% penalty, on Indian goods entering the American market. These tariffs were reportedly linked to India's procurement of Russian crude oil. The last visit by U.S. officials to India occurred on September 16. Following that visit, Commerce and Industry Minister Piyush Goyal led an official Indian delegation to the United States on September 22 for trade discussions, after an earlier visit to Washington in May.
The primary negotiator for the U.S. is Assistant US Trade Representative for South and Central Asia Brendan Lynch. The Indian team is being led by Darpan Jain, Joint Secretary in the Department of Commerce.
These upcoming talks are particularly significant in light of recent comments by Commerce Secretary Rajesh Agrawal, who expressed optimism that India could finalize a framework trade agreement with the U.S. within the year. Agrawal believes such an agreement should help resolve tariff issues in a way that benefits Indian exporters. While he acknowledged that a full-fledged Bilateral Trade Agreement (BTA) would take more time, he noted that India is engaged in "protracted negotiations" on a framework that addresses the reciprocal tariff challenges faced by Indian businesses.
Currently, India and the United States are pursuing two separate negotiation tracks. One track focuses on tariff-related issues under the framework agreement, while the other is working toward a comprehensive trade deal. In February, leaders from both countries directed officials to negotiate an agreement, with plans to conclude the first part of the pact by the fall of 2025. The discussions scheduled for December 10 aim to build on these efforts and address the tariff issues impacting Indian exports, with the broader goal of significantly enhancing bilateral trade.
