India, US Finalise ToR Outlining Roadmap For Bilateral Trade Agreement

New Delhi: India and the US have finalised the terms of reference (ToR), outlining the roadmap for negotiations of the proposed Bilateral Trade Agreement (BTA). India and the US said that they made ‘significant progress’ in negotiations for a mutually beneficial bilateral trade pact as Prime Minister Narendra Modi and US Vice President JD Vance held wide-ranging talks here, according to a statement issued by the US.

US Trade Representative (USTR) Jamieson Greer said that these ongoing talks will help achieve balance and reciprocity by opening new markets for American goods and addressing unfair practices that harm US workers. “India’s constructive engagement so far has been welcomed, and I look forward to creating new opportunities for workers, farmers, and entrepreneurs in both countries,” he said in a statement.

“I am pleased to confirm that USTR and India's Ministry of commerce and industry have finalised the ToR to lay down a roadmap for the negotiations on reciprocal trade,” Ambassador Greer said, claiming that there is a ‘serious’ lack of reciprocity in the trade relationship with India.

According to the USTR, the United States is looking at increasing market access, reducing tariffs and non-tariff barriers, and negotiating a robust set of additional commitments to ensure long-term benefits. “The US has long recognised significant trade barriers with India and as a result, the US ran a $45.7 billion goods trade deficit with India in 2024, a 5.1 per cent ($2.2 billion) increase over 2023,” the statement said.

“The US welcomed the tariff reductions India implemented during the Prime Minister's (Narendra Modi) meeting with President (Donald) Trump in February and its willingness to further reduce tariffs on US products as part of the BTA,” it added.