New Delhi — January 28 (ANI): A day after India concluded negotiations with the European Union on a Free Trade Agreement (FTA), dubbed the “mother of all deals,” New Delhi is now looking toward closing a trade agreement with the United States, sources said.
Officials in the Ministry of External Affairs said that even as talks with the EU were underway, negotiations on the India–US deal had made significant progress and could be finalized “any day now.” What remains, they said, is largely procedural, describing the stage as “just the dotting of the Is and the crossing of the Ts.” Sources added that recent rounds of discussions have been marked by robustness and momentum.
Speaking in Davos on January 21, US President Donald Trump expressed confidence in the India–US Bilateral Trade Agreement (BTA), saying the two countries were “going to have a good deal.” He praised Prime Minister Narendra Modi as a close friend and a respected leader.
“I have great respect for your Prime Minister. He’s a fantastic man and a friend of mine, and we are going to have a good deal,” Trump said when asked about the trade talks by Moneycontrol, following his address at the 56th Annual Meeting of the World Economic Forum.
Earlier, India’s Commerce Secretary Rajesh Agrawal said the much-anticipated first tranche of the India–US BTA was “very near,” though he did not provide a specific timeline.
Formally proposed in February following directives from the leadership of both countries, the BTA aims to more than double bilateral trade from the current USD 191 billion to USD 500 billion by 2030. Talks were first announced during Prime Minister Modi’s visit to Washington in February 2025.
On January 9, the Ministry of External Affairs said India and the United States had been committed to negotiating a bilateral trade agreement since February 13 last year, adding that multiple rounds of negotiations had been held to arrive at a balanced and mutually beneficial outcome.
Meanwhile, US Trade Representative Jamieson Greer on Tuesday praised the India–EU trade deal, saying India appeared to have emerged stronger from the agreement. Speaking to Fox News, Greer said the EU’s trade dependence was driving it to seek alternative markets and that India stood to gain significant advantages.
“EU is turning to India to try to find a place. The EU is so trade-dependent they need other outlets if they can’t keep sending all their stuff to the United States. I’ve looked at some of the details of the deal so far. I think India comes out on top on this, frankly,” he said.
Greer said India is set to gain improved access to European markets and may also benefit from expanded mobility provisions for Indian workers. He highlighted India’s competitive edge, citing its low-cost labor and expanding manufacturing base.
“They get more market access into Europe. It sounds like they have some additional immigration rights. I don’t know for sure, but President von der Leyen of the EU has talked about mobility for Indian workers into Europe. So, I think on net, India’s going to have a heyday with this,” he said.
When asked about tariffs related to India’s purchase of Russian oil, Greer said the United States expects India to gradually wind down such imports. He noted that while India has made progress, further steps are expected, particularly following tighter sanctions imposed by the US Treasury Department.
With India having closed a major trade deal with the EU, the agreement with the United States now appears poised to become the next significant trade announcement.
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