India-United States Trade Agreement Negotiations

India and the United States are in ongoing negotiations for a bilateral trade agreement, which is expected to conclude during the year. These talks, which began in March last year and have seen six rounds, aim to reduce external uncertainties for India and improve its export and investor sentiment. However, progress has been slow due to the Trump administration's imposition of a steep 50% tariff on Indian goods since August last year. This includes a 25% tariff and an additional 25% penalty, primarily in response to India's purchase of Russian crude oil. A delegation from the Office of the U.S. Trade Representative, led by Deputy U.S. Trade Representative Rick Switzer, visited New Delhi in December 2025 for further discussions, marking their second trip since the tariffs were implemented.