The United States considers India an "essential partner" in the Indo-Pacific region, according to Mignon Houston, Deputy Spokesperson of the US State Department. Her remarks come as India and the US continue negotiations over a long-anticipated Bilateral Trade Agreement (BTA) deadline for which is July 9.
Speaking to ANI, Houston emphasised the value of a strong, balanced trade relationship. “We want trade that is fair and reciprocal. Working closely, India is an essential partner in the Indo-Pacific and the Quad," she said.
Houston framed the ongoing talks within the broader context of the Trump administration’s “America First” economic agenda. “We expect all our partners understand why this is so important to the 'America First' agenda, that we look for trade policies that have a fairness, reciprocal, balanced way to ensure that all parties benefit,” she said.
She also defended the US decision to impose tariffs, saying that unfair trade practices had significantly harmed American industries and farmers. “The United States has an open economy, but there are unfair trade policies that have impacted US farmers and industries. These tariffs are a way for countries to meet us at a place of fairness,” she added.
India-US trade deal talks
Talks between India and the US are intensifying ahead of a July 9 deadline, which marks the end of a 90-day pause on reciprocal tariff hikes. A failure to reach a deal could see the return of a 26 per cent tariff regime that was initially imposed on April 2 during Trump’s presidency.
Negotiations are being led on the Indian side by Chief Negotiator Rajesh Agrawal, who has extended his stay in Washington as both sides attempt to reach an interim agreement. Originally scheduled for Thursday and Friday, the talks were extended amid hopes of finalising a framework before the deadline.
Trump's optimism on trade deal
On Tuesday, US President Donald Trump expressed confidence about concluding a deal with India. “I think we are going to have a deal with India. And that is going to be a different kind of a deal. It is going to be a deal where we are able to go in and compete,” he said.
Trump criticised India’s restrictive trade practices, stating, “Right now, India does not accept anybody in. I think India is going to do that, and if they do, we are going to have a deal for much less tariffs.”
Agricultural issues remain a sticking point
As discussions progress, India has taken a stronger stand on agricultural concerns. According to government sources, this area remains a key point of contention in the talks.
A senior official warned that if negotiations collapse, the suspended 26 per cent tariff structure will be reinstated immediately. “The failure of these trade discussions would trigger the immediate re-implementation of the 26 per cent tariff structure,” the official said.
