India-US Bilateral Trade Talks Commence Amidst Reciprocal Tariff Threats

India and the US are beginning three-day talks on a bilateral trade agreement amid threats of reciprocal tariffs. Discussions will focus on goods trade, aiming to reduce duties and ease norms. Concluding the agreement by 2025 is the target, as officials deliberate on negotiation terms.

Senior officials from India and the United States have initiated crucial discussions surrounding a bilateral trade agreement, opening three days of talks on Wednesday. The discussions occur within a climate of escalating tensions, marked by President Donald Trump's threats of imposing reciprocal tariffs on Indian goods.

The negotiations, led by Assistant US Trade Representative for South and Central Asia, Brendan Lynch, are set to establish the framework and schedule for concluding the agreement within two phases. The initial phase will prioritize trade in goods, with the aim to finalize it by fall of 2025. Currently, the dialogues are addressing key matters such as import duty reductions and market access.

Both nations have significant trade ambitions, intending to double their bilateral commerce to USD 500 billion by 2030. India seeks to address tariffs impact and anticipate advancements in sectors like textiles and services. These sessions follow high-level dialogues, including engagements by Commerce and Industry Minister Piyush Goyal in the US, tying into a broad commitment to strengthen economic ties.

(With inputs from agencies.)