US Commerce Secretary Signals Imminent India-US Trade Deal at Washington Summit
US Commerce Secretary Howard Lutnick has indicated that a long-awaited trade deal between India and the United States may be finalised soon, calling it likely “in the not-too-distant future.” Speaking at the US-India Strategic Partnership Forum’s Leadership Summit in Washington on Monday, Lutnick noted that both countries have found “common ground” on key issues, setting the stage for a significant breakthrough.
“You should expect a deal between the United States and India… When they put the right person in India, put the right person on the other side of the table, and we’ve managed (that), I think,” Lutnick said, suggesting optimism over recent developments in bilateral negotiations.
His remarks come as both nations work to resolve outstanding trade issues before July 8 — the date when the US is set to resume new reciprocal tariffs announced by President Donald Trump earlier this year. The tariffs were temporarily paused for 90 days, with exceptions made for China.
India is seeking a full exemption from the additional 26% tariff imposed by the US on its goods. The push for an interim trade deal before the July deadline has intensified in recent weeks, with high-level diplomatic visits and back-to-back rounds of negotiations on both sides.
Indian Commerce Minister Piyush Goyal echoed the momentum on Monday, saying both countries are committed to giving “preferential access” to each other’s businesses. “We are working towards the bilateral trade agreement. Both sides desire to support businesses and boost trade flows,” Goyal stated.
In February, US President Trump and Indian Prime Minister Narendra Modi had announced plans to negotiate the first phase of a comprehensive Bilateral Trade Agreement (BTA) by fall 2025. The goal is to more than double bilateral trade to USD 500 billion by 2030, up from the current USD 191 billion.
As part of the ongoing negotiations, a team of US trade officials is currently in India this week for fresh discussions. Last month, India’s chief negotiator Rajesh Agrawal visited Washington for a four-day consultation. Commerce Minister Goyal also made a separate trip to the US capital to give the talks further impetus.
However, President Trump recently stirred controversy by claiming that India had offered the US a tariff-free trade deal — a statement that New Delhi refuted. Indian officials clarified that discussions are still underway to arrive at a balanced, mutually beneficial agreement.
Experts believe that both nations are keen to avoid a trade standoff, especially in the face of growing geopolitical challenges and shifting global supply chains. Social media reaction in both countries has been largely positive, with analysts urging policymakers to prioritise strategic economic cooperation.
