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Informist, Monday, Dec. 15, 2025

 

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--Trade secy: Exports to US in Nov grew by $1.3 bln from year ago 
--India Apr-Nov imports from US $35.40 bln vs $31.19 bln year ago 
--India Apr-Nov exports to US $59.04 bln vs $53.01 bln year ago 
--Trade secy: India's goods exports to US holding up despite high tariffs 
--India Nov exports to US $6.98 bln vs $6.31 bln Oct 
--India Nov exports to US $6.98 bln vs $5.70 bln in year-ago period 
--Trade secy:Very close to framework deal with US, can't put timeline 

 

NEW DELHI – The government is "very close" to securing a "framework" deal with the US that will help to lower Washington's 50% tariff on goods exports from India, Commerce Secretary Rajesh Agrawal said Monday. However, Agrawal said he could not give a specific timeline for the deal to be signed. India and the US continue to negotiate a bilateral trade agreement, with a package--the framework deal--to address the issue of reciprocal tariffs in particular.

 

The US in August imposed 50% tariff on goods imports from India, including a punitive tariff of 25% for New Delhi's continued purchases of crude oil from Russia. India has been batting for the trade agreement to shield its huge exports from the 50% tariff, though the trajectory of India–US trade talks has fluctuated significantly over the past nine months.

 

The talks hit an impasse in August because of disagreements on the farm sector. Negotiations resumed in September, followed by visits from officials on both sides. However, the commerce ministry has repeatedly emphasised that none of these interactions, including the latest visit by a delegation led by the deputy US trade representative, constituted a formal negotiating round.

 

The US accounts for nearly 20% of India's total exports. In the financial year 2024-25 (Apr-Mar), India had exported goods worth $86.51 billion to the US and had a trade surplus of $40.82 billion with the country. The US tariff has cast a shadow on over $50 billion of Indian exports from labour-intensive sectors such as textiles, gems and jewellery, marine products, and furniture and bedding.

 

Despite the steep tariff, India's exports to US are holding up well, Agrawal said. According to data released by the commerce ministry Monday, India's merchandise exports to US in the first eight months of FY26 were worth $59.04 billion, up 11.4% on year. During the same period, India's imports from the US came to $35.40 billion, taking India's trade surplus with the US to $23.64 billion, up from $21.82 billion a year ago. In November alone, India's exports to the US were worth $6.98 billion, up from $6.31 billion in October and $5.70 billion in November last year.

 

The higher tariff imposed by the US on India has resulted in a price disadvantage of 30–35% for Indian exports, making them less competitive than exports from China, Vietnam, Cambodia, the Philippines, and other Southeast and South Asian countries.

 

Indian exporters see the proposed trade deal with the US as an insulation against reciprocal tariffs but New Delhi and Washington are yet to iron out differences over the US demand for access to India's politically and socially sensitive farm and dairy sectors. The US wants to push genetically modified crops and dairy products into India under the deal.  End

 

US$1 = INR 90.72

 

Reported by Krity Ambey and Priyasmita Dutta

Edited by Rajeev Pai

 

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