Greer said the US already has a ‘framework agreement’ with India and an American team will visit India next week for further talks.
“In New Delhi, we have had many meaningful discussions. We have a framework agreement with the Indians. I have a team going there next week. I expect to meet my counterpart [Piyush Goyal] soon as well,” Greer said at a Council of Foreign Relations conference.
“I’d really like to be in a position to finalise our agreement based on the joint framework agreement we agreed to,” he added.
Earlier this year, the US imposed ‘reciprocal tariffs’ on several countries. These are taxes placed on imported goods to match tariffs charged by other countries. But later, the US Supreme Court ruled those tariffs illegal. Because of this, the US is now preparing a completely new tariff system, which may be announced next month.
On May 26, India’s Commerce Secretary Rajesh Agrawal said talks with the US, Canada and the European Union are moving ahead steadily. He said the government hopes India and the US can reach a major agreement soon.
India and the US have been discussing this trade deal for a long time. Both countries want easier trade rules, lower tariffs and better market access for companies. If the deal moves ahead, sectors like IT services, pharma, textiles, electronics, auto components and agriculture could benefit.
Markets are also closely watching the deal because stronger trade ties with the US could boost India’s exports, manufacturing, supply chains and foreign investment.
In addition to this, due to ongoing tensions with China, the US is trying to move supply chains away from China, and India could benefit from this shift. Sectors like electronics, defence, semiconductors, clean energy and technology could see stronger India-US partnerships in the future.
At the same time, India is also holding trade talks with Canada. An Indian trade delegation is currently in Canada to discuss a trade agreement that both countries hope to finalise by the end of this year. Commerce Minister Piyush Goyal is leading a delegation of around 100 industry leaders.
India and Canada are discussing a Comprehensive Economic Partnership Agreement (CEPA), and talks have reportedly moved quickly in recent months.
