India-US trade talks resume June 1 in New Delhi to finalise interim pact
Synopsis
Key Takeaways
India and the United States are set to resume high-level negotiations on an interim bilateral trade agreement in New Delhi from 1 June 2025, with chief negotiators from both sides scheduled to meet over four days. The talks aim to finalise the legal text and granular details of the proposed interim pact, whose broad framework was agreed upon earlier this year.
Who Is at the Table
The US delegation will be led by chief negotiator Brendan Lynch, while India's team will be headed by Darpan Jain, Additional Secretary in the Department of Commerce. Beyond the interim pact, the discussions are expected to advance the broader Bilateral Trade Agreement (BTA), covering market access, non-tariff barriers, customs and trade facilitation, investment promotion, and economic security cooperation.
What the February Framework Promised
The current round of talks builds on a joint statement issued by both governments on 7 February 2025, which laid out the first-phase BTA framework. Under that arrangement, the United States had agreed to reduce tariffs on Indian exports from 50 per cent to 18 per cent, and to remove an additional 25 per cent tariff that had been imposed on certain Indian goods linked to India's purchases of Russian oil.
How the Tariff Landscape Has Shifted
The trade environment has changed considerably since February. On 20 February 2025, the US Supreme Court struck down President Donald Trump's reciprocal tariff regime, which had been implemented under the International Emergency Economic Powers Act (IEEPA) of 1977. In response, the US administration introduced a uniform 10 per cent tariff on imports from all countries for a period of 150 days beginning 24 February 2025.
This development forced the postponement of a planned chief-negotiator meeting in February. Talks later resumed in Washington in April, when an Indian delegation led by Jain visited the US from 20 to 23 April 2025.
Why Recalibration May Be Needed
Officials and trade experts believe the proposed interim pact may require structural recalibration. With all US trading partners now subject to the same 10 per cent baseline tariff, the preferential advantage India was set to gain under the February framework has narrowed. The New Delhi meeting will assess how this altered tariff architecture affects the terms of the deal and what adjustments are necessary before a final text can be agreed upon.
Notably, this is the third major scheduling attempt for a substantive chief-negotiator meeting, underscoring both the complexity of the negotiations and the urgency both sides attach to concluding an agreement. With the 150-day tariff window running, the timeline for locking in a deal is tightening.