- President Trump expressed optimism for US-India trade deal soon.
- US lowered tariffs on Indian exports to 18 percent.
- Negotiators met in Delhi, nearing agreement completion.
U.S. President Donald Trump has voiced renewed confidence about the future of economic ties between the United States and India, indicating that a long-awaited trade agreement between the two nations could be on the horizon. The remarks come amid intensified diplomatic and trade engagement between Washington and New Delhi as both governments seek to deepen economic cooperation and address longstanding areas of disagreement.
Trade Negotiations Gain Momentum
Speaking about ongoing negotiations, Trump highlighted his strong personal relationship with Prime Minister Narendra Modi and expressed optimism that the two countries would soon reach a mutually beneficial arrangement.
Trump said, “For years, India took advantage of the United States… They charged us tremendous tariffs and paid nothing… Now it is the exact reverse and we are making a lot of money with India.”
“We will get to a deal. I like your Prime Minister a lot; he is a good friend of mine,” he said.
We will get to a deal. I like your Prime Minister a lot; he is a good friend of mine: US President Donald Trump on trade deal with India. pic.twitter.com/vMrox5bElm
— Press Trust of India (@PTI_News) June 5, 2026
ALSO READ: ‘US Pressure On India Won’t Work’: Putin Backs PM Modi Over Russia Ties
Trump acknowledged that trade relations between the two countries have historically been shaped by tariff-related concerns. He pointed out that India had, for years, maintained higher duties on certain American products, creating what Washington viewed as an uneven trading environment.
However, the U.S. President suggested that the landscape is changing and that both sides are now working toward a more balanced framework. Reaffirming his confidence in the negotiations, Trump said, “But we will get to a deal,” signaling that discussions are moving in a positive direction.
Bilateral Trade Agreement Framework Takes Shape
Efforts to strengthen economic relations received a significant boost earlier this year. Following a telephone conversation between Trump and Modi in February, the two governments announced a roadmap for the first phase of a Bilateral Trade Agreement (BTA).
As part of the preliminary understanding, the United States agreed to lower tariffs on Indian exports from 50 percent to 18 percent.
ALSO READ: India, US Reaffirm Push For ‘Mutually Beneficial’ Trade Deal
New Delhi Talks Focus On Outstanding Issues
Negotiators from both countries convened in New Delhi between June 1 and June 4 to advance discussions on the proposed agreement. Officials from the Office of the U.S. Trade Representative (USTR) and Indian trade authorities examined a range of topics, including customs processes, trade facilitation measures, non-tariff barriers and economic security cooperation.
According to officials familiar with the discussions, the talks were productive and helped narrow differences on several key issues. Both sides are now focused on finalizing an interim agreement while simultaneously working toward a larger BTA.
Recent statements from senior officials have further fueled optimism. U.S. Ambassador to India Sergio Gor indicated that negotiations had entered the final stretch, with only a handful of issues yet to be resolved.
