Union Commerce Minister Piyush Goyal and US Trade Representative Jamison Greer on Tuesday began bilateral talks in New Delhi aimed at resolving remaining issues holding up an interim trade deal — mainly a valid tariff structure — that would eventually lead to a comprehensive bilateral trade agreement (BTA), people familiar with the matter said.
An interim free trade agreement is expected to be reached soon, with almost all of its elements settled under the framework reached by the two sides on February 7. However, since the US Supreme Court on February 20 invalidated the legal basis for the proposed 18% reciprocal tariff envisioned under this framework, the deal now requires rebalancing along with a new, legally valid tariff structure, said the sources, who requested anonymity. A spokesperson for the Ministry of Commerce did not respond to HT’s queries in this regard.
In response to a post by Goyal on Tuesday morning on X welcoming the US delegation for “productive” discussions, US Ambassador Sergio Gore posted a photo of himself with Goyal and Greer, writing: “Ongoing discussions on finalizing US-India trade deal.” In a separate post, Gore said: “We are moving decisively toward finalizing a strong bilateral trade agreement that will open new economic opportunities for both countries and significantly deepen the US-India economic partnership.”
According to Greer’s office, the focus of his meetings with Goyal and other senior Indian officials will be the US-India Joint Statement and Interim Agreement, as part of the broader free trade area negotiations.
Prime Minister Narendra Modi and President Donald Trump issued a joint statement in Washington on February 13, 2025, envisioning broad strategic and economic cooperation, including a free trade agreement aimed at doubling total bilateral trade to $500 billion by 2030 – a goal that has since been called “Mission 500”.
Using this framework, the US Embassy in India said in a post on Tuesday evening: “The US-India trade partnership is a win-win! Stronger relationships create American manufacturing jobs while supporting India’s growth as the world’s largest democracy. From energy security to sharing technology talent, we are building the future together.” In a separate post, the embassy said: “The United States remains focused on securing a fair and reciprocal trade deal that opens markets for American exporters and provides benefits to both countries.”
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The push for a quick outcome is partly driven by the approaching deadline on the US side: the temporary additional 10% tariffs imposed on all countries under Section 122 of the Trade Act of 1974 are set to expire on July 24, the sources said. India, too, wants the deal to be finalized soon – but unlike Washington, is not bound by the July 24 deadline, HT reported on Tuesday.
The sources said that some results are expected to be reached after Jarir’s meetings with senior Indian officials. The US Trade Representative, along with a US delegation, also met Union Finance Minister Nirmala Sitharaman on Tuesday. “The two sides exchanged views on enhancing bilateral trade and economic cooperation, with a focus on new opportunities for growth and deeper trade engagement,” the Ministry of Finance said in a statement.
Completion of the interim free trade agreement will depend on determining a mutually acceptable tariff structure to replace the 10% surcharge under Article 122, and on resolving two ongoing disputes under Article 301, the people said. Washington has accused India of taking inadequate measures to check forced labor, and separately alleges that India’s industrial policies support excess capacity that distorts global trade against American manufacturers.
Following its investigation into forced labor, the US Trade Representative in June proposed an additional 12.5% tariff on 54 countries, including India; India, which has denied the accusation, has until July 7 to respond formally. The outcome of a separate investigation into overcapacity is still pending.
After the bilateral talks on Tuesday, Goyal said the discussions were “productive” in a late night post on He added, “India remains committed to working constructively with the United States to deepen economic ties and create new opportunities for growth and innovation.”
