India and the United States are preparing to send trade delegations next week after both President Donald Trump and Prime Minister Narendra Modi directed officials to finalise a long-awaited agreement in the coming weeks.
The move follows high-level exchanges earlier this month. On Friday, Trump posted on social media, “I am pleased to announce that India, and the US, are continuing negotiations to address the trade barriers between our two nations. I look forward to speaking with my very good friend, PM 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.”
Responding to Trump's Truth Social post, PM Modi posted on X, “India and the US are close friends and natural partners. I am confident that our trade negotiations will pave the way for unlocking the limitless potential of the India-US partnership. Our teams are working to conclude these discussions at the earliest. I am also looking forward to speaking with President Trump. We will work together to secure a brighter, more prosperous future for both our people.”
Trump shifts tone
Just last week, Trump had criticised New Delhi, saying India had offered to cut tariffs on US goods to zero “too late” and should have lowered them years ago. The more positive message now comes after months of turbulent negotiations. Talks have often stalled, with India warning that Trump’s 50% tariffs on Indian exports could reduce the country’s GDP growth by half a percentage point this year. Trump doubled the duties on Indian imports after New Delhi refused to halt purchases of Russian oil, which Washington argues help fund Moscow’s war in Ukraine.
The scale of trade ties
Two-way goods trade between the US and India stood at $129 billion in 2024, with the US recording a $45.8 billion deficit, according to data from the US Census Bureau. Alongside trade, Washington will send a delegation on 17–18 September to discuss India’s concerns over the $3 billion purchase of six P8I anti-submarine warfare aircraft.
The two sides are also expected to sign an agreement this month for 113 GE-404 aircraft engines to power India’s Tejas Mark I A fighter jets.

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