India and the US will continue talks for a trade agreement

12-Jan-2026 08:58 PM

New Delhi. The newly appointed US Ambassador to India has said that both countries are actively pursuing a bilateral trade agreement and that the negotiation process could resume soon. This round of discussions could bring the trade treaty to a final conclusion.

According to the ambassador, trade talks are likely to resume on January 13. It is worth noting that India is the world's most populous country, so bringing the bilateral trade agreement negotiations to a successful conclusion is no easy task. However, both sides are confident that the trade talks will reach a final outcome.

The new ambassador was appointed in November 2025, but he has now formally assumed his duties at a crucial time when there is a lack of clarity on the issue of resuming trade agreement negotiations between India and the US.

It is also worth noting that a draft of the trade agreement between the two countries had already been prepared and formally approved by both sides, but the US later stalled the process, citing the fact that the Indian Prime Minister had not called the US President.

The US has imposed a high tariff of 50 percent on many Indian products, affecting the export of many goods, including Basmati rice, spices, and textile products.

This tariff has been in effect since the last week of August 2025. India wants this tariff to be reduced to 15 percent, but the US does not currently seem to agree and is instead threatening to impose a 500 percent import duty on India, along with China and Brazil. US trade policy has become unpredictable.