India, US advance toward first bilateral trade agreement: Piyush Goyal

India and the United States are making steady headway in finalizing a mutually beneficial trade pact, Union Commerce and Industry Minister Piyush Goyal confirmed after his meeting with US Commerce Secretary Howard Lutnick.

Taking to X on Thursday (US time), Goyal described the discussions as “constructive,” emphasising that both countries are “committed to enhancing opportunities for our businesses and people.”

The meeting marked a step forward in efforts to finalize the first tranche of a Bilateral Trade Agreement (BTA), which aims to reduce tariffs on goods and services ahead of the proposed timeline set for fall 2025. According to officials, the terms of reference for the trade pact have already been agreed upon.

Goyal reiterated that India offers a strong case for a trade deal with the US due to its long-term growth trajectory and favorable demographics. “Looking at the growth India offers in the next 25-30 years with a large, aspirational, young population who will add to the demand for goods and services, we believe India will be a compelling case to enter into a good agreement with the US,” he had told reporters earlier.

A successful agreement on tariff reductions is expected to significantly boost trade volumes between the two nations. During Prime Minister Narendra Modi’s recent visit to Washington, DC, both he and US President Donald Trump expressed their goal of achieving $500 billion in bilateral trade by 2030.

While President Trump recently claimed that India had offered to eliminate all tariffs on American products, he also noted he was in no rush to finalise a deal, despite signs of substantial progress.