BVR Subrahmanyam Hints at Early Conclusion of India-US Trade Deal

On Monday, NITI Aayog CEO BVR Subrahmanyam expressed hope that an India-US trade deal that has been in the works will be concluded soon after both sides expressed commitment to a fair deal.

Speaking at the launch of Trade Watch Quarterly, Subrahmanyam confirmed that negotiations conducted last month had developed "good progress" and both sides are "hopeful" of concluding a deal in the next few weeks.

The trade relationship between New Delhi and Washington has shown signs of strain following the most recent increase in tariffs on Indian goods up to 50% by US President Donald Trump, in addition to a 25% tax on India's import of Russian crude oil, which India said was unfair, unjustified and unreasonable.

Also Read: Synthetic Motor Oils: Innovations Enhancing Engine Performance

Subrahmanyam explained these high tariffs are a major cost factor, however any obvious effect on trade will likely not be evident until Christmas. However, he warned that if the trade pact is not finalized by November, “summer is going to be an issue.”

Officials from both sides are engaged in a Bilateral Trade Agreement (BTA) that intends to more than double bilateral trade to USD 500 billion by 2030, up from USD 191 billion. The US remains India's largest trading partner, with total trade reaching USD 131.84 billion in 2024-25.

Highlighting India’s need to enhance competitiveness, Subrahmanyam emphasized lowering tariffs, easing non-tariff barriers, and diversifying manufacturing clusters under the upcoming national manufacturing policy.