The United States and India are on the verge of concluding a landmark bilateral trade agreement, with a senior US official saying the two sides are “very, very close” to finalising a pact that could significantly deepen economic ties between the world’s largest and fifth-largest economies.

Speaking at an event on Capitol Hill hosted by the Foundation for India and Indian Diaspora Studies (FIIDS), US Deputy Assistant Secretary of State Bethany Poulos Morrison said negotiations launched after discussions between Prime Minister Narendra Modi and President Donald Trump had entered their final stages.

“We are very, very close,” Morrison said, describing the proposed agreement as a historic deal that would open India’s 1.4 billion-strong market to American goods on reciprocal and mutually beneficial terms.

Her remarks come as US Trade Representative Jamieson Greer is in New Delhi for high-level discussions with Commerce and Industry Minister Piyush Goyal aimed at advancing the proposed Bilateral Trade Agreement (BTA). Both sides are seeking to conclude an interim pact before July 24, when Washington’s temporary 10 per cent tariff on imports from trading partners is set to expire.

The negotiations have gained momentum following the June 17 meeting between Modi and Trump on the sidelines of the G7 summit in France. Tuesday’s talks also build on chief negotiator-level discussions held earlier this month in New Delhi.

Morrison said the Trump administration remains focused on achieving “Mission 500” — a target of increasing bilateral trade to $500 billion by 2030. She also highlighted growing Indian investment in the United States, noting that Indian companies announced $20 billion in new investment commitments at the recent SelectUSA Investment Summit, including $1.1 billion in immediate investments.

Beyond trade, Morrison pointed to expanding cooperation in energy, saying US-India hydrocarbon trade has reached $14.4 billion since 2025. She also cited the contribution of more than 330,000 Indian students enrolled in US educational institutions, who contribute over $14 billion annually to the American economy.

Published on: Jun 24, 2026 11:17 AM IST