‘They’re good friends’: Trump admin official says US, India trade deal can be worked out ‘soon’

A senior Trump administration official has said that the long-discussed trade deal between India and the US could be finalised “soon.” Kevin Hassett, Director of the National Economic Council, shared the update in an interview with CNBC on Monday, revealing that both sides are “very close” to finalising the agreement. “Yeah, we were for sure very close. I’ve spoken to the ambassador…you know, we’ve had visits,” Hassett said, referring to the ongoing negotiations that have been underway since March.

Hassett acknowledged the complexities of the deal, particularly what he said the challenges posed by India’s relationship with Russia. “I think that it’s a complicated situation because the interaction between what India does with Russia and with what India does with us,” he noted. “But we’re still quite hopeful. It got pretty complicated because there are a lot of different variables in the India-American relationship, but they’re good friends and we’re hoping we can work it out soon.”

The trade deal negotiations between India and the US have been ongoing for several months, with six rounds of talks already held. The proposed deal aims to address issues such as tariffs, market access, and trade imbalances. India and the US have set a target to more than double their bilateral trade to $500 billion by 2030, up from the current $191 billion.

On the Indian side, Commerce and Industry Minister Piyush Goyal said that the deal will come to fruition once it is “fair, equitable, and balanced.” Goyal highlighted that India must protect the interests of its farmers, fishermen, and small industries. “India as a nation has to secure its interests…has to secure the interests of our stakeholders, businesses, and balance it with our sensitivities with the farmers, with the fishermen, with small industries,” he said.

Goyal reassured that there is no need for concern over the bilateral relationship between the two countries, despite occasional disagreements. “Parivaar mein kabhee kabhee thodee bohot nok-jhok toh hotee rahatee hai (sometimes there is a bit of bickering in the family also),” Goyal remarked, adding that the relationship remains strong and strategic. He also mentioned a recent long-term LPG import agreement with the US, signaling the enduring and growing partnership. 

“In fact, we just signed a major LPG agreement for importing over a long period of time every year 2.2 million tonnes per annum of LPG. So it is an ongoing process. We both (India and the US) are equally committed to expand trade and commerce between the two countries,” he added.

The proposed deal is critical for improving trade relations, especially after the Trump administration imposed a steep 50 per cent tariff on Indian goods, including a 25 per cent additional duty for purchasing Russian crude oil. The US seeks greater access to the Indian market for products such as almonds, pistachios, apples, ethanol, and genetically modified commodities. 

Despite the ongoing tariff dispute, the US remained India’s largest trading partner for the fourth consecutive year in 2024-25, with bilateral trade valued at $131.84 billion.