Archive · 6 Oct 2026
Indo-US Trade Deal Remains Distant Amid Tariff Uncertainty
India and the United States are still trying to make a trade deal, but it is not ready yet.
A U.S. trade official said the talks are near their final stages, but an announcement is not close.
The article says tariffs and U.S. investigations have added uncertainty.
India is willing to lower some taxes on American goods, but it has set limits on certain farm products.
The two countries also disagree about how to address their trade imbalance.
India’s trade surplus with the United States has recently fallen, according to the article.
The author says India should keep talking with the United States.
The author also recommends making more trade agreements with other countries.
U.S. Trade Representative Jamieson Greer said an India-U.S. trade deal is not imminent, despite talks being in their concluding stages.
The article says U.S. tariffs and Section 301 investigations have made the terms of a potential deal uncertain.
India has offered to reduce duties on U.S. industrial and agricultural goods, while maintaining red lines on genetically modified maize and soybeans and dairy products.
India’s bilateral trade surplus with the United States fell 42% year-on-year from September 2025 to February 2026, and was down 21% to $14.7 billion in April-August 2026.
The author recommends continuing negotiations while advancing trade agreements with other partners, including the European Union and Canada.
- Who
- India and the United States; U.S. Trade Representative Jamieson Greer and India’s Finance Minister Nirmala Sitharaman are cited.
- What
- Negotiations for a bilateral trade deal remain unresolved, with tariffs, market access, and trade imbalances among the issues.
- When
- Greer spoke after the G20 trade ministerial conference in Milwaukee; the article also cites trade figures from 2025–26.
- Where
- The negotiations concern trade between India and the United States; Greer made his remarks in Milwaukee.
- Why
- The article attributes the stalled talks to disagreements over U.S. demands, tariffs, market access, and how to address the bilateral trade imbalance.
India’s concerns
U.S. demands as described
Tariffs and negotiating pressure
India’s concerns
India wants an agreement that is mutually beneficial and protects it from unilateral U.S. tariffs; the article says India faces difficulty meeting mounting U.S. demands.
U.S. demands as described
The article says the United States is using tariffs and investigations while pressing India to address trade concerns.
Market access and sensitive goods
India’s concerns
India has offered significant duty reductions on U.S. industrial and agricultural products but will not accept genetically modified maize and soybeans or dairy items.
U.S. demands as described
The article describes U.S. requests for broader market access and says Greer referred to a range of unresolved sticking points.
Trade imbalance
India’s concerns
India points to a shrinking bilateral surplus and rising imports from the United States as evidence of movement on the issue.
U.S. demands as described
The article says the United States wants to address the imbalance through purchases of $500 billion in American products and major investments, beyond traditional trade negotiations.
- U.S. trade representative
- Ambassador Jamieson Greer said a deal was not imminent.
- India’s stated position
- India seeks a mutually beneficial agreement and has maintained red lines on genetically modified maize and soybeans and dairy items.
- Trade surplus change
- The article says the bilateral surplus fell 42% year-on-year from September 2025 to February 2026.
- Recent surplus figure
- The surplus fell 21% year-on-year to $14.7 billion in April-August 2026.
- Surplus in 2025-26
- India’s bilateral trade surplus with the United States amounted to $33.9 billion.
- U.S. purchase demand described
- The article says the United States sought $500 billion in Indian purchases of American energy, ICT, and other products, along with major investments in the United States.
- Other trade agreements
- The article says the India-EU deal was concluded on January 27 but had not been signed into force, and India aimed to conclude a deal with Canada by year-end.