India has significantly reduced its average applied tariffs for key developed countries such as Australia, the UAE, Switzerland, and Norway under recently concluded, mutually beneficial bilateral trade agreements.
Sources indicate that similar negotiations are currently underway with the European Union and the United Kingdom, among other partners. They added that the ongoing discussions with the United States should be viewed in this context. In February this year, India and the US agreed to negotiate the first tranche of a mutually beneficial, multi-sector Bilateral Trade Agreement (BTA) by the fall of 2025.
In February this year, India and the US agreed to negotiate the first tranche of a mutually beneficial, multi-sector Bilateral Trade Agreement (BTA) by the fall of 2025. Prime Minister Narendra Modi and US President Donald Trump agreed to designate senior representatives to advance the negotiations. Accordingly, an Indian delegation led by the Commerce and Industry Minister visited Washington this week and met with the US Commerce Secretary, the US Trade Representative, and their teams.
Sources further stated that discussions on tariffs and other aspects of trade, highlighted during Prime Minister Modi’s visit to Washington, are ongoing. They emphasised that both countries have their respective interests and sensitivities, which are legitimate matters for discussion. Given that negotiations have just begun, sources noted that it would be premature to discuss details at this stage. Each dimension of the agreement will be shaped by the interests of both sides.