**Summary:**
In response to a question in Lok Sabha on July 29, 2025, regarding trade relations with the United States, the Minister of State in the Ministry of Commerce and Industry provided the following information. Bilateral Trade Agreement (BTA) negotiations between India and the US were initiated in March 2025, with five rounds of negotiations completed, the most recent being held in Washington D.C. from July 14-18, 2025. A Joint Statement issued on February 13, 2025, outlines the goal of more than doubling total bilateral trade to $500 billion by 2030. Leaders from both countries announced plans to negotiate the first tranche of a mutually beneficial, multi-sector BTA by Fall 2025. The United States has imposed a 25% tariff on imports of automobiles and certain automobile parts from all countries, including India, effective April 3, 2025, and May 3, 2025, respectively. India has taken the necessary steps to reserve its rights within the framework of WTO agreements. Information regarding US tariffs can be found at www.whitehouse.gov.
Key Entities Referenced
USA: The United States of America, a country engaged in trade negotiations with India.
SHRI RAJA A: Member of LOK SABHA who raised the question about the trade agreement with USA.
COMMERCE AND INDUSTRY: The ministry responsible for trade negotiations.
SHRI JITIN PRASADA: The Minister of State in the Ministry of Commerce and Industry who provided the answer to the question.
India US bilateral Trade Agreement BTA: Trade agreement being negotiated between India and the United States of America.
Washington DC: Capital of United States of America, location of India US bilateral Trade Agreement BTA negotiations.
WTO: World Trade Organization, where India has reserved its rights regarding the tariff increases.
GATT: General Agreement on Tariffs and Trade, the principles of which India believes the US tariffs violate.
GOVERNMENT OF INDIA
MINISTRY OF COMMERCE & INDUSTRY
DEPARTMENT OF COMMERCE
LOK SABHA
UNSTARRED QUESTION NO. 1447
ANSWERED ON 29.07.2025
TRADE AGREEMENT WITH USA
1447. SHRI RAJA A:
Will the Minister of COMMERCE AND INDUSTRY (वाणिज्य और उद्योग मंत्री)
be pleased to state:-
(a) whether any trade agreement was negotiated with USA on tariffs on US imports
and India's exports during the last two years, if so, the details thereof;
(b) whether any deadline was set by US for concluding trade agreement, if so, the
details thereof;
(c) whether US recently increased tariffs on the imports of particular automobiles
and spareparts from India;
(d) if so, the details thereof;
(e) whether India registered protest in the WTO, as they were against the principles
of GATT, if so, the details thereof; and
(f) whether any retaliatory traiffs would be levied and suspend concessions, if so,
the details thereof?
ANSWER
वाणिज्य और उद्योग मंत्रालय में राज्य मंत्री (श्री णिणिन प्रसाद)
THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY
(SHRI JITIN PRASADA)
(a) to (f) India US bilateral Trade Agreement (BTA) negotiations were launched in
March 2025. Five rounds of negotiations have been held, the last being from July 14-
18th, 2025 at Washington DC, USA.
As per the Joint Statement issued on 13th February, 2025, India and US has set a
goal to more than double total bilateral trade to $500 billion by 2030. The leaders of
India and US announced plans to negotiate the First tranche of a mutually beneficial,
multi-sector Bilateral Trade Agreement (BTA) by Fall of 2025.
USA has imposed 25% tariff on imports of automobiles and certain automobile parts
from all countries including from India. Notably, while the tariffs on automobiles have
been in effect since April 3, 2025, the tariffs on automobile parts have been in effect
since May 3, 2025. Source : www.whitehouse.gov
India has taken requisite steps to reserve all its rights consistent with the provisions of
WTO Agreements.
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