Top officials from India and the US will discuss the agenda for an “early tranche” of the India-US bilateral trade agreement (BTA) that can be delivered within the 90-day pause period for reciprocal tariffs in Washington DC next week. “The Indian team led by Commerce Additional Secretary Rajesh Agarwal will be in Washington DC next week for a three-day meeting with US counterparts aiming to move beyond the agreed terms of reference (ToRs) and also discuss US ambitions in areas such as agriculture and non-tariff barriers,” a source tracking the matter said. Formal talks Additionally, the two sides will work on scheduling of the formal negotiations to see what all can be done in the 90-day period and what has to be pushed for later, the source added. On April 2, US President Donald Trump announced reciprocal tariffs on most trade partners, including 26 per cent on India, stating that it was aimed at creating a level playing field for US exporters who faced high tariffs in the targetted countries. Trump, however, put the tariffs on hold on April 9 for 90-days, till July 8, to negotiate trade deals. A 10 per cent baseline tariff on most imports, however, continues. The US President said more than 75 countries had got in touch with US officials to start negotiations on deals to avoid the tariffs. While India was the first country with which Trump agreed to negotiate a bilateral trade deal, as early as February 2025 when Prime Minister Narendra Modi visited Washington DC, the Fall 2025 (September-October 2025) deadline for delivering the first tranche may not be good enough to stall the reciprocal tariffs further. To develop ToRs “It seems that to avoid reimposition of reciprocal tariffs on July 9, India may have to deliver something before the Fall deadline to satisfy the US. That is exactly what the officials will discuss when they meet. They will try to develop ToRs further in the areas of tariffs, non-tariff barriers as well as regulatory barriers,” the source said. The US has been vocal about demanding tariff cuts from India in a number of areas of its interest such as automobiles, motorbikes, alcohol, including bourbon whisky, and a range of agricultural products. “India may be in a position to offer tariff cuts for some industrial items, it will be difficult to offer much in agriculture beyond some fruits, nuts and a few more items as it is a highly sensitive sector. The demands that the US makes in the area of non-tariff barriers and regulatory issues could also pose a problem,” another source said. US continued to be India’s top export destination in FY25 with exports of $ 86.51 billion contributing to over 19 per cent of the country’s exports. India’s imports from the US were at $45.33 billion. More Like This Published on April 19, 2025