Archive · 12 Jan 2026
India Expands Trade Ties Amid US Deal Standoff
India is trying to make new trade deals with other countries because talks with the US have been slow.
The US increased taxes on Indian goods, which makes it harder for India to sell things there.
So, India is looking for new friends to trade with, like the UK, Europe, and others.
This way, India won't rely too much on the US.
Some people in India say it's important not to rush a deal with the US if it's not good for Indian farmers and businesses.
Meanwhile, the US says India didn't call to finalize the deal, but India says that's not true.
India is also buying less oil from Russia, which might affect the US's decision.
Overall, India is trying to be smart and make sure it has many options for trade.
India is pursuing new trade deals with the UK, EU, and other countries amid stalled US trade negotiations.
US tariffs on Indian goods have increased to 50%, prompting India to diversify its trade partners.
India signed four trade agreements in 2023 and is negotiating with several other countries.
The UK trade deal is projected to double garment exports to Britain, and an EU deal could be significant.
India's goods exports grew by 19% in November 2023, with diversification helping to offset US tariffs.
- Who
- Indian government officials, US Commerce Secretary Howard Lutnick, and trade experts
- What
- India's efforts to diversify trade partnerships amid stalled US trade deal negotiations
- When
- Ongoing negotiations, with recent developments in December 2023 and January 2024
- Where
- India and various global partners including the US, UK, EU, and others
- Why
- To mitigate the impact of US tariffs and reduce dependence on a single market
- Union Minister
- Piyush Goyal
- US Commerce Secretary
- Howard Lutnick
- US Tariffs on India
- 50%
- India's Trade Agreements
- 4 signed/operationalized in 2023
- Potential New Trade Deals
- EU, Eurasian Economic Union, Mexico, Chile, Mercosur
- UK-India Trade Deal Impact
- Projected to double garment exports to Britain
- India's Goods Exports Growth
- 19% in November 2023
- India's Russian Oil Imports
- 1.2 million barrels per day in December 2023
Sources
'India is not so dependent on US, has alternatives': Ex RBI MPC member plays down trade deal risks
"Have Trust In India": Piyush Goyal Exclusive On India-US Trade Deal
UK, New Zealand, more — India taps new markets amid 50% Trump tariffs as US trade deal remains elusive
Express view on India-US relation: Hope ties with US hit reset, but hope isn’t strategy
India-US ties face strain amid Trump tariffs: Ram Madhav