Trump announced that the United States is “very close” to finalizing a trade agreement with India, following a recently inked tariff deal with Indonesia, which now faces a 19% U.S. tariff. Trump emphasized that the India deal would mirror the Indonesia framework—opening Indian markets to U.S. goods while reducing barriers for American exporters.

Crucially, India did not receive one of Trump’s “tariff letters” last week, a sign that it’s being steered clear of punitive measures while negotiations gain traction. A senior Indian trade delegation recently returned from Washington, aiming to finalize an interim deal before Trump’s self‑imposed tariff deadline of August 1.

Negotiators appear focused on low‑hanging sectors—automobiles, niche agricultural exports—while contentious areas like dairy and grains remain under cautious discussion. Though terms are still evolving, analysts expect a phased agreement: an initial deal before August, with broader comprehensive ties possibly finalized later.