Economy

US team in India on Tuesday to try and break logjam in trade talks

Diplomatic handshake between leaders from the United States and India with flag-painted hands. istock photo for BL

Diplomatic handshake between leaders from the United States and India with flag-painted hands. istock photo for BL
| Photo Credit:
Kagenmi

A US team of trade officials, led by chief negotiator Brendan Lynch, will be in New Delhi for day-long talks with their Indian counterparts on Tuesday in an attempt to break the logjam in the proposed India-US Bilateral Trade Agreement (BTA).

“Based on these discussions, the future course of action will be decided. Overall there is a positive frame of mind for both countries,” Commerce Secretary Sunil Barthwal said.

Lynch’s one-day visit to India could be crucial for the future of the talks as the US has been continuing to push India for market access in sensitive agriculture products, including soybean and corn, that New Delhi has not been able to agree to because of economic and political compulsions.

Hardcore negotiations for the BTA had stalled some time back as US President Donald Trump imposed 25 per cent reciprocal tariffs on most Indian products on August 7 and added another 25 per cent tariffs as penalty for buying Russian oil on August 27. 

The Trump administration postponed the visit of the US trade team earlier scheduled on August 25 with US officials blaming India for buying Russian oil and helping Moscow carry on with its war on Ukraine.

“The meeting with the US team on Tuesday will not be a formal negotiating round. It is not the sixth round of negotiations but it is definitely discussions on the trade talks and trying to see how we can reach an agreement between India and the US, said Rajesh Agarwal, India’s chief negotiator for the BTA. Agarwal added that virtual talks between the two sides had been on for some time.

A decision on whether Commerce & Industry Minister Piyush Goyal will head to Washington for the next round of talks with US Trade Representative Jamieson Greer is also likely to be decided after Tuesday’s meeting.

While the two countries had been talking virtually, talks were not progressing much because the environment was not conducive, another official tracking the matter said.

Last week, Trump chose to break the ice and make amends with India and posted on social media that he looked forward to his good friend Prime Minister Narendra Modi, in the upcoming weeks. 

“I feel certain that there will be no difficulty in coming to a successful conclusion for both of our great countries!” he said. 

Published on September 15, 2025

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