The Trump administration is on the verge of finalizing a new trade agreement with India, potentially announced within days. President Donald Trump stated that both countries are moving towards signing the deal soon after Prime Minister Narendra Modi visited Washington earlier this year. Negotiations have intensified since then. U.S. Treasury Secretary Scott Bessent confirmed progress, highlighting the close-to-completion nature of the agreement with India while noting other trade talks happening globally.
Economic benefits for both nations are anticipated. Economist Raghuram Rajan at the University of Chicago Booth School of Business stated that India stands to gain significantly if tariffs are lowered during negotiations. This could make India a more attractive destination for companies, particularly due to its substantial domestic market.