India and the United States are actively progressing in their negotiations for a multi-sector Bilateral Trade Agreement (BTA), aiming to enhance market access, reduce tariff and non-tariff barriers, and deepen supply chain integration between the two nations. This development comes in the context of ongoing discussions surrounding tariff policies.
During Prime Minister Narendra Modi’s visit to the US in February 2025, both countries announced plans to negotiate a mutually beneficial BTA. The Ministry of External Affairs (MEA) spokesperson, Randhir Jaiswal, highlighted that the objective of the BTA is to strengthen and deepen bilateral trade across goods and services sectors.
He stated, “Our objective through BTA is to strengthen and deepen India-US two-way trade in the goods and services sector, increase market access, reduce tariff and non-tariff barriers, and deepen supply chain integration between the two countries.”
Union Commerce and Industry Minister Piyush Goyal’s recent visit to the US, where he engaged with his counterparts, is part of ongoing efforts to advance the agreement.
The MEA emphasized that both governments are committed to advancing discussions on the BTA, reflecting a constructive approach to addressing trade issues and fostering a mutually beneficial relationship.
In February 2025, both nations set an ambitious target to more than double their bilateral trade to $500 billion by 2030. To achieve this, they plan to negotiate the first tranche of the BTA by fall 2025, focusing on increasing market access, reducing trade barriers, and enhancing supply chain integration.
These developments underscore the commitment of India and the US to strengthen their economic partnership, addressing trade challenges through dialogue and cooperation.
