India-US Trade Talks Resume: Optimism High to Finalize Bilateral Trade Agreement in 2025

A high-level delegation from the office of the US Trade Representative, led by Deputy US Trade Representative Ambassador Rick Switzer, will visit India from December 9-11, 2025, official sources told ANI.
Negotiations between the two countries are scheduled for December 10 and 11, focusing on all trade-related issues as both nations work to advance the Bilateral Trade Agreement (BTA). Commerce Secretary Rajesh Agarwal, serving as India's Chief Negotiator, will lead the Indian negotiating team during these critical discussions.

India remains optimistic about finalizing the first tranche of the India-US BTA within the current calendar year, despite recent challenges in the global trade environment. On November 28, Commerce Secretary Agarwal expressed confidence at the FICCI Annual General Meeting, stating, "I think our expectations.... we are very optimistic and very hopeful that we should find a solution within this calendar year."

The talks have progressed substantially, though the original target of completing the first tranche by fall 2025 was delayed due to new developments in US trade policy, including tariffs imposed by President Donald Trump on Indian goods.

The road to the BTA has been complicated by US tariff measures, with President Trump imposing a 25 per cent tariff on Indian goods starting August 1, followed by another 25 per cent increase days later, citing India's continued purchase of Russian oil as part of reciprocal tariffs on countries where the US faces trade deficits. Despite these obstacles, multiple rounds of talks have taken place to finalize the agreement, which was formally proposed in February following directives from the leadership of both nations. 

The BTA aims to more than double bilateral trade from the current USD 191 billion to USD 500 billion by 2030, with talks first announced during Prime Minister Narendra Modi's visit to Washington earlier this year.
The upcoming negotiations reflect India's broader trade engagement strategy, as the country simultaneously pursues agreements with multiple partners. 

India has already signed 14 Free Trade Agreements and six Preferential Trade Agreements with trading partners and is currently negotiating FTAs with several countries, including the European Union. External Affairs Minister Jaishankar, speaking at the HT Leadership Summit 2025, emphasized India's autonomy in maintaining bilateral relationships with major countries, stating that "for any country to expect to have a say on how we develop our relations with others is not a reasonable proposition." He reaffirmed India's policy of upholding "strategic autonomy" and "freedom of choice" in its international engagements.