Is India Close to Securing a Breakthrough Trade Deal with the US?
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Synopsis
India is on the verge of finalizing a groundbreaking trade deal with the US, as indicated by National Economic Council Director Kevin Hassett. With both nations committed to enhancing trade opportunities, the outcome promises significant economic benefits. Will this agreement reshape the economic landscape for both countries?
Key Takeaways
- India is close to finalizing a trade deal with the US.
- Tariff reductions to 10 percent or lower are being discussed.
- Both countries aim for $500 billion in bilateral trade by 2030.
- The agreement could significantly enhance trade relations.
- Apple and other American companies are a priority in tariff negotiations.
New Delhi, May 27 (NationPress) India is approaching a significant milestone in securing a transformative trade agreement with the United States, according to National Economic Council Director Kevin Hassett on Tuesday.
Hassett's remarks surfaced as the Donald Trump administration indicated its willingness to reduce tariffs to 10 percent or less for countries presenting strong trade proposals.
In an interview with CNBC, Hassett mentioned that a trade and tariff agreement between the US and India is “nearing the finish line.”
He also emphasized that the Trump administration aims to avoid any negative impact on Apple due to tariffs. “Ultimately, we’ll see what unfolds, but we don’t want to harm Apple,” he stated.
Progress has been made in finalizing a mutually beneficial trade agreement, Union Commerce and Industry Minister Piyush Goyal noted last week, during discussions with US Commerce Secretary Howard Lutnick regarding the initial phase of the Bilateral Trade Agreement (BTA).
With a strong case for a bilateral trade deal, India’s growth prospects and demographic advantages were highlighted. The Union Minister affirmed that both nations are “dedicated to increasing opportunities for our businesses and citizens.”
Efforts are underway for both countries to finalize the first phase of the BTA, aiming to lower tariffs ahead of the anticipated timeline of fall 2025, as the terms of reference for the agreement have already been established.
A successful agreement on tariff reductions could significantly enhance trade between the US and India. Prime Minister Narendra Modi and US President Donald Trump have set an ambitious goal of achieving $500 billion in bilateral trade by 2030, as stated during the Indian PM’s recent visit to Washington, DC.
President Trump recently asserted that India proposed eliminating all tariffs on American products, but noted that he is not in a hurry to finalize the trade deal, despite signs of a potential breakthrough.
Point of View
It is essential to recognize the potential benefits of the trade agreement between India and the US. This deal could lead to increased economic collaboration and growth for both nations. The commitment from both sides to enhance trade opportunities is promising, but it is crucial to ensure that the agreement is equitable and beneficial for all stakeholders involved.
NationPress
08/06/2025
Frequently Asked Questions
What is the current status of the India-US trade deal?
India is nearing the completion of a significant trade agreement with the US, as indicated by National Economic Council Director Kevin Hassett.
What are the expected benefits of the trade deal?
The trade deal could lead to reduced tariffs, increased trade opportunities, and a target of $500 billion in bilateral trade by 2030.
What is the timeline for the trade agreement?
Both countries aim to finalize the initial phase of the Bilateral Trade Agreement before the fall of 2025.
How will this impact American companies like Apple?
The Trump administration has expressed a desire to avoid harming American companies, including Apple, through tariff policies.
Why is this trade deal significant?
This trade deal represents a critical step in strengthening economic ties between India and the US, benefiting both nations.
