MUMBAI : The India-based think tank argued that progress will be slow unless the U.S. signals “genuine flexibility” on tariff issues. “There is no quick fix, and India must prepare for a long haul,” GTRI said in its report, underscoring the significance of the oil-linked duties imposed by President Donald Trump in August.
The talks, led by U.S. Assistant Trade Representative Brendan Lynch and Indian officials, mark the first round since Washington raised tariffs to 50% on Indian goods, 25% reciprocal duties in place since August 7, followed by another 25% on August 27 in response to India’s continued Russian oil imports.
Despite Washington’s eagerness to close a deal, GTRI noted that U.S. officials have often used “disparaging language” against India even while negotiating. The think tank urged New Delhi to remain firm, especially on agriculture and dairy, sectors it views as vital for the livelihoods of hundreds of millions of farmers rather than just trade items.
The two sides have been exploring an interim trade deal, but India has pushed back on U.S. demands to open sensitive markets. Commerce Minister Piyush Goyal has reiterated that India is optimistic about a balanced and mutually beneficial agreement, though observers now believe a final deal may only be possible if tariffs are withdrawn.
Launched in March 2025, the bilateral trade agreement (BTA) aims for an initial framework by late 2025, with leaders hoping to eventually double two-way trade, which stood at $190 billion last year.