The comments come amid ongoing negotiations between India and the United States aimed at resolving long-standing trade issues and strengthening economic cooperation.

Following a phone conversation between Trump and Modi in February, the two countries issued a joint statement outlining the framework for the first phase of a Bilateral Trade Agreement (BTA), also referred to as an interim trade deal.

Under that framework, the United States agreed in principle to lower tariffs on certain Indian goods from 50% to 18%.

Recent Negotiations in New Delhi

Trade officials from both countries held four days of discussions in New Delhi from June 1 to June 4. Representatives from the Office of the United States Trade Representative (USTR) met Indian officials to discuss:

• Trade in goods

• Customs procedures

• Trade facilitation measures

• Non-tariff barriers

• Economic security cooperation

Both sides described the talks as productive and said negotiations are continuing to finalise a mutually beneficial interim agreement.

Challenges Still Remain

Despite signs of progress, some uncertainty remains. The Trump administration is considering additional tariffs on imports from several economies, including India.

A proposed review under Section 301 of the US Trade Act of 1974 could lead to extra duties on imports from countries that the United States believes have not taken adequate measures against goods linked to forced labour.

India, along with China, Japan, South Korea, the United Kingdom, Bangladesh and Vietnam, is among the economies included in the review.