Washington has indicated that negotiations on the long-awaited trade agreement between India and the United States could yield results by the end of this year. According to a report by news agency ANI, the latest round of India–US trade talks has seen “a lot of positive developments,” following the Donald Trump administration’s decision to ease its earlier confrontational stance regarding India’s purchases of Russian oil.
Quoting a senior US official, the report stated that Washington is working with New Delhi on two parallel matters — a reciprocal trade agreement and concerns related to India’s continued imports of Russian oil.
“I think we’ve had a lot of positive developments with them recently. We have two things going on with them. Of course, we have a reciprocal trade negotiation, but we also have a Russian oil issue, where we’ve seen market improvement on that end,” the official said on Thursday.
The official added that the discussions are progressing at an “encouraging” pace and may produce results “before the end of the year.”
“I’d like to say we can relax and take a break, but there’s still a lot to do, but there’s a lot of positive progress going on already, and we may have more to come before the end of the year,” the official further noted.
Two Parallel Trade Issues
The US administration is managing two major issues with India. The first involves reciprocal trade negotiations aimed at balancing tariffs and widening market access between the two economies. These talks address long-standing concerns, including duties on American agricultural and industrial products, India’s request to restore trade preferences, and improved access for Indian services professionals in the United States.
The second matter relates to the “Russian oil issue.” India’s imports of Russian crude have remained a point of contention in trade discussions. India has maintained that its energy procurement decisions are dictated by national interests and the need to safeguard Indian consumers.
Bilateral trade between the United States and India reached approximately USD 190 billion in 2024, with both nations expressing intentions to significantly expand commercial ties.
