Trade deal soon? US chief negotiator to land in India tonight; talks to begin tomorrow

Fresh rounds of trade negotiations between India and US are set to begin on Tuesday with the arrival of US chief negotiator in the country, today.Brendan Lynch, the assistant US trade representative for south and central Asia, is set to land in India tonight to continue discussions on a Bilateral Trade Agreement (BTA) with his Indian counterpart. The trade talks will take place on Tuesday.India’s chief negotiator in the discussions is Rajesh Agrawal, special secretary in the department of commerce.The two nations have been engaged in negotiations since past several months, looking to seal an interim trade deal. However, Indian officials have raised concerns over Washington’s demand to open up the agricultural and dairy sectors as these are sensitive areas for the country, providing livelihoods to a major portion of the population, ANI reported.Talks on a broader BTA were launched in March this year, with the aim of completing the first stage of the agreement by October–November 2025.The negotiations are set against the backdrop of escalating tariffs imposed by US President Donald Trump. Initially, he announced 25% tariffs on Indian goods, despite earlier expectations of an interim trade deal that could have averted higher duties. Within days, the tariffs were doubled to 50%, citing India’s continued imports of Russian oil. These measures came into effect on August 27.Trump has consistently pursued a policy of reciprocal tariffs, extending duties on multiple countries with which the US runs a trade deficit. Since beginning his second term, he has reaffirmed that his administration will match tariffs imposed by other nations, including India, to “ensure fair trade”.Despite the strains, leaders from both sides have struck a positive tone. Earlier this week, PM Narendra Modi welcomed President Trump’s remarks on bilateral relations, saying he “deeply appreciates and fully reciprocates” the US President’s sentiments and outlook.“Deeply appreciate and fully reciprocate President Trump’s sentiments and positive assessment of our ties. India and the US have a very positive and forward-looking Comprehensive and Global Strategic Partnership,” Mr Modi wrote in a post on X.In his announcement at the White House, President Trump described India-US relations as a “very special relationship” and stressed that he and PM Modi would always be friends, insisting there was “nothing to worry about”.