India and U.S. Trade Deal Talks Reach New Heights Amid Tariff Concerns**

Piyush Goyal reports "fantastic progress" in U.S.-India trade talks despite previous deadlines being missed, as both nations aim for a comprehensive agreement by year-end to address tariffs and market access issues.**

India's Commerce Minister Piyush Goyal has announced substantial advancements in negotiations for a trade deal with the United States, following a notable free trade agreement with the UK earlier this week. Speaking in London, Goyal remarked on the "fantastic progress" being made, indicating the potential for a consequential partnership between the two nations.

This declaration comes as both countries have previously failed to meet several deadlines to finalize the agreement. U.S. President Donald Trump had initially set August 1 as the deadline for several nations, including India, to agree on a trade deal or face increased tariffs.

Prior to the deadline, Trump implemented a 26% tariff on Indian goods on April 2, which was temporarily paused until July 9, before being extended to August 1. In recent attempts to expedite negotiations, Indian delegations have frequently traveled to the U.S. Last week, Trump expressed optimism about the negotiations and noted that Washington and Delhi were "very close" to finalizing an interim agreement, with aspirations to establish a bilateral deal by the end of this year.

Goyal elaborated on the key challenges faced—primarily India’s insistence on lower tariffs for agriculture and dairy products. While acknowledging the complexities of negotiations, he suggested that India might consider a broader agreement if smaller sectoral deals can be achieved in the interim.

Reiterating his confidence in reaching an agreement ahead of the deadline, Goyal outlined the longstanding U.S. desire for broader access to India’s agricultural sector, which Washington views as a vital and underexploited market. However, India has consistently defended its agricultural policies, emphasizing food security and the welfare of millions of small farmers.

Previously, the U.S. held the title of India’s largest trading partner, with bilateral trade hitting $190 billion. Both nations aim to significantly increase this figure to $500 billion, with India having already reduced tariffs on key products including Bourbon whiskey and motorcycles. Nonetheless, the U.S. currently encounters a considerable trade deficit of $45 billion with India—an imbalance that Trump is eager to address.