‘Hopeful of reaching an agreement’: Jaishankar says India aims to finalise US trade deal before July 9; already reduced tariff on several goods

NEW DELHI: India is “hopeful” of finalising a trade agreement with the US before the 90-day pause on reciprocal tariffs ends on July 9, external affairs minister S Jaishankar said Tuesday during an interview with French daily Le Figaro.Jaishankar is currently on a four-day visit to Belgium and France.The EAM said that trade talks between India and the US had already begun before US President Donald Trump announced new tariffs on global trade partners on April 2, which included duties of up to 27 per cent on Indian goods."Prime Minister [Narendra] Modi met with Donald Trump in February and they decided to further open access to our respective markets," said Jaishankar.

"We are hopeful of reaching an agreement before the end of the tariff suspension on 9 July."Earlier in the day, a US delegation held closed-door meetings with Indian trade ministry officials in Delhi.Bilateral trade between India and the US was worth $190 billion until recently, making the US India's largest trading partner. India has already lowered tariffs on several items, such as Bourbon whiskey and motorcycles.

However, the US still runs a $45 billion trade deficit with India, which Trump wants to reduce.Trump and Modi have set a goal to more than double bilateral trade to $500 billion. But India is unlikely to make concessions in politically sensitive sectors like agriculture.Earlier this month, the White House urged its trade partners to present their best offers before the deadline. US commerce secretary Howard Lutnick said last week that he was “very optimistic” about a trade deal with India, adding it could happen in the “not too distant future.”In May, Trump claimed that India had agreed to remove all tariffs on American goods. However, this was quickly denied by India, with Jaishankar stating that “nothing is decided till everything is.”Jaishankar also commented on the US’s current foreign policy approach under President Trump, saying Washington is "looking at things from the perspective of its immediate interest and seeking benefits for itself." “Frankly, I will do the same with them,” he added.