Trump Signals Looming US-India Trade: ‘We’re Very Close’

The highly anticipated US-India trade deal may be just days away from being finalized, as President Donald Trump confirmed that negotiations between the two economic powerhouses are “very close” to a conclusion. His remarks came on Wednesday during a press interaction at the White House, followed by a reiteration during an interview with Real America’s Voice, fueling optimism that the prolonged trade impasse may soon end.

“We’re very close to a deal with India where they open it up,” Trump stated confidently, hinting at a substantial breakthrough in market access.

The remark comes at a critical juncture. With a looming August 1 deadline for the imposition of steep 27% tariffs on Indian goods—initially scheduled for April 2 but twice extended—the pressure on both sides to close the US-India trade deal has intensified. The new agreement is expected to avert a potential trade clash and lay the foundation for stronger economic collaboration.

Trump: A Race Against the Tariff Clock

For months, Indian and American officials have been engaged in back-and-forth discussions aimed at resolving contentious issues. Last month, a senior Indian delegation extended its Washington stay for another round of negotiations—an uncommon diplomatic move that underscored the gravity of the discussions.

While the specific details of the pending deal remain under wraps, sources close to the matter point to lingering friction over key areas such as agriculture, auto parts, and tariffs on Indian steel exports. U.S. officials have long urged India to provide broader access to its massive agricultural market, which India guards tightly in defense of food security and the livelihoods of its small farmers.

Commerce Minister Piyush Goyal struck a cautious yet optimistic tone earlier this week, noting that discussions were moving at a “fast pace.” However, he was also quick to reiterate that India does not negotiate based on deadlines or pressure.

“India will enter into agreements that serve our national interest and protect our people,” Goyal emphasized.

Parallels with Indonesia and a Changing Global Trade Landscape

President Trump likened the expected US-India trade deal to a recent pact made with Indonesia, where American companies secured extensive access to the Indonesian market.

“India is basically working along that same line. We are going to have access to India,” Trump noted, suggesting that a similar framework might be used to define the India deal.

Trump’s aggressive approach to international trade has remained consistent. This week alone, the White House dispatched letters to major allies and trading partners—including the European Union, Japan, Canada, Mexico, and South Korea—warning of steep tariffs set to take effect on August 1. These actions are part of Trump’s broader strategy to reshape America’s trade relationships and reduce deficits.

The U.S. currently holds a $45 billion trade deficit with India, a figure Trump has frequently cited as a motivation for tougher negotiation tactics. Despite India reducing tariffs on high-profile U.S. exports like Bourbon whiskey and motorcycles, Washington continues to push for more concessions.

Trump: Strategic Stakes and a $500 Billion Vision

Until recently, the United States was India’s largest trading partner, with bilateral trade peaking at $190 billion. Both President Trump and Indian Prime Minister Narendra Modi have voiced ambitious goals of more than doubling this figure to $500 billion.

The US-India trade deal, once finalized, could become a critical component of that vision, redefining trade flows and deepening strategic ties between the world’s two largest democracies.

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