The latest on the India-US trade deal – India’s Commerce Secretary Rajesh Aggarwal said, “there are engagements going on, and negotiating teams are talking virtually on issues which are still pending. But we can’t put a deadline. It’s very near. That will happen as long as both sides are ready, they feel it is the right time to announce,” PTI quoted Aggarwal in a report.
He added that a virtual meeting was also held between Commerce and Industry Minister Piyush Goyal and United States Trade Representative Jamieson Geer in December last year.
India-US trade talks underway for 6 months now
Last month, in December 2025, India’s Chief Economic Advisor (CEA) V Anantha Nageswaran had said that a formal agreement with the US could take place by March 2026.
This comes at a time when US President Donald Trump has warned of additional tariffs on India, citing dissatisfaction over India’s purchase of Russian crude. Currently, most Indian goods face tariffs of up to 50%, with 25% being punitive in nature due to the country’s purchase of Russian crude oil.
The 50% tariffs is being borne by export-oriented sectors such as textiles, gems, seafood, and automobiles.
India–EU FTA likely by January
Additionally, the Commerce Secretary stated that India is close to signing a bilateral trade deal with the European Union, as negotiations are expected to conclude by January 26, which also coincides with India’s Republic Day.
Aggarwal said that over the past three months, both parties have been in the final round of negotiations. He added that 20 out of the 24 chapters of the trade agreement have been completely closed. He further stated that both sides are very close to signing the agreement and are exploring whether the negotiations can be wrapped up before top EU leaders visit New Delhi later this month.
Two senior EU leaders—Ursula von der Leyen, President of the European Commission, and Antonio Costa, President of the European Council—will attend the 77th Republic Day Parade as chief guests. As per an official statement issued by the Ministry of External Affairs, both leaders will visit India from January 25 to January 27, 2026.
The Republic Day parade will be followed by an India–EU Summit on January 27