NEW DELHI: The proposed India-US interim trade framework is set to be signed “very soon”, US ambassador Sergio Gor said on Friday, as negotiators from both sides work to finalize the contours of the agreement.
“The signing of the deal will happen very soon,” said Gor. “Even this week, our teams are actively talking to each other.”
Commerce secretary Rajesh Agarwal had earlier indicated that the mini trade deal could be concluded by March.
On India’s commitments regarding Russian oil purchases, the newly appointed ambassador said that New Delhi is working to “diversify” its oil options.
Gor made these remarks while speaking to reporters on the sidelines of the India AI Impact Summit 2026.
On 6 February, India and the US agreed on an interim trade framework that advances their ongoing Bilateral Trade Agreement (BTA) talks, with both sides committing to deepen market access, address digital trade barriers and lay the groundwork for a comprehensive pact.
As part of the arrangement, the US has scrapped the additional 25% punitive tariff imposed on India over its purchases of Russian oil and lowered the reciprocal tariff on Indian goods from 25% to 18%. The revised rate is among the lowest compared with several of India’s competing export economies such as Bangladesh, Vietnam, Malaysia, Thailand and China.
“An Indian delegation led by the chief negotiator will visit the US next week to carry forward the discussions. Work is currently underway to convert the joint understanding into legally binding language,” Agarwal had said on Monday.
“While it is difficult to specify a deadline for signing the agreement, efforts are ongoing and there is a possibility that the proposed mini deal could be finalized by March,” Agarwal had said.
The executive order removing the 25% punitive tariff imposed over India’s purchase of Russian oil was notified on 6 February, while the order to modify the reciprocal tariff from 25% to 18% is likely to be notified soon.
The easing of tariff pressure comes against the backdrop of fluctuating export trends. Exports to the US declined to $6.58 billion in January from $7.01 billion in December, indicating some moderation despite resilience under higher tariff conditions. Exporters had faced pricing and margin pressures during the period of elevated duties.
However, cumulative shipments to the US during April–January rose 5.8% year-on-year to $72.46 billion, reflecting steady growth even amid tariff uncertainty.
Bilateral goods trade between India and the US stood at $116.39 billion during April–January, with India recording a trade surplus of $28.53 billion. In the corresponding period of the previous fiscal year, total trade was $112.51 billion, with a trade surplus of $27.41 billion.
