PM Modi, Trump hopeful of resolving trade barriers; India-US trade deal negotiations may resume soon

PM Modi, Trump hopeful of resolving trade barriers; India-US trade deal negotiations may resume soon

Trade negotiation teams from the world’s largest and fifth-largest economies are set to engage in discussions to explore a trade deal once again. Sources told Zee Business that the teams from both sides are set to meet at the end of the month. 

Investors and market watchers also pinned their hopes on US-India trade talks following social media posts from Prime Minister Narendra Modi and US President Donald Trump — on different platforms. 

PM Modi describes India, US as close friends, natural partners on X

“India and the US are close friends and natural partners,” wrote PM Modi on microblogging site X (formerly Twitter), adding: “I am confident that our trade negotiations will pave the way for unlocking the limitless potential of the India-US partnership.”

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He also wrote: “Our teams are working to conclude these discussions at the earliest.”

Sharing a screenshot of Trump’s post on social networking site Truth Social, the Prime Minister wrote he is “looking forward to speaking with President Trump”.

“We will work together to secure a brighter, more prosperous future for both our people,” noted the PM. 

Donald Trump says India, US continuing trade negotiations

“I am pleased to announce that India, and the United States of America, are continuing negotiations to address the Trade Barriers between our two Nations,” wrote President Trump.

Trump also expressed eagerness to speaking with his “very good friend” PM Modi in the “upcoming weeks”, according to the US president’s post. 

“I feel certain that there will be no difficulty in coming to a successful conclusion for both of our Great Countries!” he added. 

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Truth Social has been the 47th US president’s preferred social networking platform in 2025. 

The development comes weeks after the Trump 2.0 administration’s additional 25 per cent tariff on India, over the fifth-largest economy’s oil trade with Russia, took effect, taking the total duty on Indian goods exports to the US to 50 per cent. This is the highest levy that the US has imposed in the current round of trade war with its trade partners, with Mexico being the only country bearing the same duty. 

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Meanwhile, India has held its firm view that it is well within its right to buy Russian oil in pursuit of energy security for its citizens, also given that the US and the EU maintain trade ties with Russia in several commodities. Commerce Minister Piyush Goyal has stated repeatedly that India will not show any signs of weakness in its trade and economic interests.

Negotiations for a trade agreement spanned several weeks this year, with both sides initially optimistic. However, key disagreements resurfaced around June, especially over areas like agricultural import duties and dairy products. 

 

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