’Very good progress on talks’: India-US sign terms of reference for trade deal to include tariff barriers

India has decided to move ahead with a trade liberalisation path in its economic ties with the United States, with both countries formally agreeing on the terms of reference for the first phase of a proposed bilateral trade agreement. The deal, which is being negotiated in a phased manner, is expected to be finalised by the end of 2025. Officials from both sides aim to scale up bilateral trade to $500 billion by the year 2030.

Trade Secretary Sunil Barthwal said on Tuesday that India is committed to advancing trade liberalisation with the US. He also confirmed that the first round of virtual discussions between the two nations will begin this month. Additional Secretary Rajesh Agrawal noted that after the virtual talks, the next in-person round of negotiations is scheduled for mid-May. India and the US had earlier agreed in February to initiate work on the phased trade deal, targeting conclusion of the first leg later this year. The initiative forms part of a larger strategy to deepen economic engagement and substantially boost trade volumes between the two countries over the coming years.