India has reaffirmed its commitment to pursuing a bilateral trade agreement with the United States despite the latest round of U.S. tariff measures affecting imports from several countries, including India. Officials said New Delhi remains focused on dialogue and believes continued negotiations are the best path toward strengthening economic ties.

India Stays Committed to Trade Talks

India’s Ministry of Commerce stated that discussions with Washington will continue with the aim of concluding a mutually beneficial trade agreement. The announcement comes after the U.S. imposed additional tariffs of 10% on certain Indian exports under new trade measures linked to concerns over forced labor in global supply chains.

The Indian government noted that the impact of the tariffs is expected to be limited, as approximately 45% of India’s exports to the U.S. are exempt from the new duties. Exempted products include generic pharmaceuticals, smartphones, steel, aluminum, and auto parts, while the remaining exports will face the additional 10% tariff alongside existing import duties.

Exporters Face Challenges

Industry groups, particularly those representing textile and apparel manufacturers, have expressed concern that the new tariffs could reduce the competitiveness of Indian products in the U.S. market. They have urged the government to accelerate trade negotiations to minimize the impact on exporters and preserve market access.

Outlook

Despite the new tariff measures, both India and the United States continue to view a bilateral trade agreement as strategically important. Negotiators are expected to remain engaged in efforts to resolve outstanding issues, expand market access, and deepen one of the world’s fastest-growing economic partnerships. While the latest tariffs present new challenges, officials from both sides have indicated that discussions toward a comprehensive trade deal will continue.

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