The discussions, which concluded on Wednesday, come amid efforts by the United States administration to establish a legally sustainable tariff structure after the US Supreme Court struck down the legal basis of reciprocal tariffs in February, ruling that earlier sweeping global tariff measures exceeded statutory authority. The court’s decision has since reshaped the framework for ongoing trade negotiations.
The Indian delegation was led by chief negotiator Darpan Jain. According to the ministry, the talks covered multiple strategic areas including market access, non-tariff barriers, technical barriers to trade, customs procedures, trade facilitation measures, investment promotion, economic security coordination, and digital trade. Officials described the discussions as being conducted in a constructive and positive atmosphere, with meaningful and forward-looking engagement that enabled progress on key issues.
This round of negotiations marked the first face-to-face meeting since both countries agreed on an interim trade framework on February 7. The Commerce Ministry stated that the framework reaffirmed the commitment to broader negotiations on the India–United States Bilateral Trade Agreement. Both sides agreed to maintain engagement to preserve momentum as discussions progress further.
Prior to the delegation’s departure, Commerce Secretary Rajesh Agrawal stated that both countries were aiming to finalise a legal agreement as a logical continuation of the February 7 joint statement. He emphasized the need for further discussions and sustained follow-up engagement to advance the process.
During a hearing before the House Ways and Means Committee, United States Trade Representative Jamieson Greer confirmed that Indian negotiators were present in Washington and that both sides were actively negotiating specific commodities, including dried distillers’ grains, soybean meal, and ethanol. He stated that India remains a challenging negotiating partner due to its long-standing protection of agricultural markets, while also noting the possibility of mutual agreement in certain sectors.
India’s Ministry of External Affairs spokesperson Randhir Jaiswal stated that the talks remain ongoing and constructive. He added that both countries are working toward a balanced, mutually beneficial, and forward-looking trade agreement, taking into account each side’s priorities and concerns, with the objective of achieving a bilateral trade target of 500 billion United States dollars by 2030. In 2024, bilateral trade in goods and services stood at approximately 212 billion dollars.
Negotiations are currently proceeding along two major tracks: the establishment of a legally viable tariff framework following the Supreme Court ruling, and securing India’s competitive position relative to other exporting nations, including China, Vietnam, Bangladesh, Sri Lanka, and Indonesia. Officials noted that the current uniform tariff structure provides no comparative advantage to India over these competing economies.
At present, a uniform tariff of 10 percent applies across countries, which, according to officials familiar with the matter, does not provide India with any trade advantage. The legal restructuring of the tariff system has therefore become a central issue in the negotiations.
The urgency to rebuild the agreement on a firm legal foundation intensified after the Supreme Court on February 20 struck down the earlier tariff framework, invalidating a proposed 18 percent tariff on Indian goods that had formed a cornerstone of the February 7 understanding. In response, the United States administration introduced a temporary uniform tariff of 15 percent under Section 122 of the Trade Act of 1974, applicable to all imports and valid for 150 days, set to expire in July.
In parallel, Washington has initiated Section 301 investigations into alleged excess industrial capacity involving 16 economies, including India. These investigations are expected to play a significant role in shaping the outcome of ongoing trade discussions.
The continuation of negotiations signals sustained diplomatic engagement as both nations work to resolve legal, economic, and strategic complexities while aiming to advance toward a comprehensive bilateral trade agreement.
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