- US trade envoy Brendan Lynch lands in New Delhi Sept 15 for one-day talks with India’s Rajesh Agrawal.
- Visit follows renewed bonhomie between Trump and Modi after weeks of tariff tensions.
- US imposed 50% combined tariffs on Indian goods over Russian oil imports in August.
- India defends its sovereign energy choices, resists opening agriculture and dairy markets.
GG News Bureau
New Delhi, 15th Sept: With a fresh show of warmth between US President Donald Trump and Prime Minister Narendra Modi, stalled India–US trade talks are back on track. American chief negotiator Brendan Lynch, Assistant US Trade Representative for South and Central Asia, is scheduled to land in New Delhi on Monday night for a one-day visit, Indian negotiator Rajesh Agrawal confirmed to Reuters. Formal discussions will be held on Tuesday.
Tariffs Triggered Earlier Freeze
The visit was originally planned for August 25–29 but was cancelled after Washington imposed steep tariffs on Indian products, citing India’s purchase of Russian oil “funding the Ukraine war.” A 25% levy took effect in early August as part of a broader global trade reset, followed by another 25% duty on August 27 specifically tied to Russian oil imports.
During the standoff, US officials issued sharp statements—some touching on caste and making personal remarks—while India maintained a measured stance, defending its sovereign right to procure energy in its national interest.
Shift in Tone from Washington
Relations eased after Trump downplayed oil-linked sanctions, calling the Ukraine conflict “more of a Europe problem,” and notably spared India in his calls for higher EU tariffs on China. A cordial social-media exchange between Trump and Modi soon after paved the way for talks to resume.
Sticking Points and Timelines
Negotiations for an interim trade deal have been underway since March–April. Key hurdles remain, especially Washington’s push for access to India’s agriculture and dairy markets—a demand New Delhi resists to protect farmers. The original goal of sealing an agreement by September has slipped, with officials now eyeing an October–November timeline for the first-stage pact.
India’s exports to the US slipped to $6.86 billion in August from $8.01 billion in July. The full effect of the late-August tariff hike will show in coming months.
Global Context
Separately, US Treasury Secretary Scott Bessent and Chinese Vice-Premier He Lifeng opened a new round of trade talks in Madrid on Monday, focused on looming US tariffs on China and Washington’s demand that TikTok be sold to a non-Chinese owner before a September 17 deadline.