President Donald Trump said the United States is “pretty close” to finalizing a “fair trade deal” with India and indicated that tariffs on Indian goods would be lowered “at some point.”
He made the remarks during a ceremony in the Oval Office for the swearing-in of Sergio Gor as US Ambassador to India, emphasizing that the new deal would differ from past agreements and aim to be mutually beneficial.
Trump highlighted that high tariffs on India had been imposed in response to its purchase of Russian oil, which has now largely stopped, and signaled that these tariffs would be reduced in due course.
Trump stressed the strategic and economic importance of India, citing its 1.5 billion population, rapidly growing middle class, and key role in the Indo-Pacific region.
He emphasized that strengthening US-India relations would involve promoting investments in critical US industries and technologies, expanding American energy exports, and enhancing security cooperation.
The two countries have already completed five rounds of talks on the first phase of the bilateral trade agreement.
Officials said that negotiators are close to resolving most key issues and are now focused on finalizing the language of the agreement.
Trump expressed confidence in Ambassador Gor’s ability to fortify ties between the two nations, calling India a vital partner economically and strategically.
He also highlighted the potential for mutually beneficial outcomes, describing the trade deal as “good for everybody.”
Relations between the US and India had been strained under the high tariffs imposed by Trump, which India criticized as “unfair, unjustified, and unreasonable.”
The proposed trade agreement aims to reset and strengthen bilateral economic and strategic ties.