President Donald Trump says he’s confident the US and India will finalize a trade agreement, pointing to his personal relationship with Indian Prime Minister Narendra Modi as a driving force behind the progress.
The statement came after a week of negotiations in New Delhi, running from June 1-5, led by US chief negotiator Brendan Lynch. The talks were aimed at hammering out an interim trade agreement that both countries have been working toward since early 2025.
What’s actually on the table
The current negotiations build on a framework established in February 2026, when a joint statement from both governments outlined the bones of a deal. The key terms: the US would cut tariffs on Indian goods from 50% down to 18%. Washington would also eliminate a separate 25% punitive tariff that was tied to India’s purchases of Russian oil.
In exchange, Modi committed to halting Indian purchases of Russian oil, a concession that threads energy geopolitics directly into what might otherwise look like a straightforward trade negotiation.
