Finance Minister Nirmala Sitharaman told the Munich Leaders Meeting 2026 that India‑US trade talks have hit a plateau, even as the two‑way trade surplus still favors India.
She added that the United States is still looking to trim a trade deficit that has grown over the past decade, citing losses the U.S. claims it has incurred against Indian exporters.
The negotiations are taking place under a framework for an interim trade agreement announced in February 2026, which India and the U.S. hope will pave the way for a broader, long‑term pact.
Sitharaman used India’s recent EU deal as a benchmark, noting that India opened up 92.5 % of tariff lines and about 97 % of trade value, whereas the EU offered roughly 99 % of trade value and 97 % of tariff lines.
With the plateau in sight, both sides are likely to revisit the scope of concessions in the coming weeks, while Washington is expected to push for a schedule that allows it to offset its deficit through targeted tariff adjustments.