American trade officials, led by chief negotiator Brendan Lynch, will be holding three-day talks with their Indian counterparts in New Delhi starting Tuesday.
Also Read: India-US trade deal: Large parts finalised, talks resume June 2 in New Delhi, says Piyush Goyal
“Mostly, everything is finalised,” said Goyal. “As you know, US Ambassador Gor said that 99% of the things have been finalised. Discussions are going on about small issues, commas and full stops.”
Both sides announced on February 3 the framework for the first phase of the trade pact.
“While finalising, how will the legal changes that have taken place in the US be reflected in the final agreement, and what kind of changes will be made accordingly,” said Goyal. “After finalising that, I am fully confident that, with the US, we will conclude the first tranche of the BTA as soon as possible, sign it, and start further discussions on how to have a more comprehensive BTA.”
Relief from Section 301 Probes
An official said the key focus of the negotiations will be getting relief on Section 301 probes, and New Delhi achieving lower tariffs than its competitors, adding that the deal could be firmed up if “we get the terms fair, equitable, and balanced”.Also Read: India may rethink Scotch whisky tariff cuts if UK does not ease steel import curb
US Trade Representative Jamieson Greer could visit India once the broad contours of the agreement are finalised, the official said, signalling progress in the negotiations.
Sticking point in UK trade Pact
India could consider scaling back tariff concessions, called “rebalancing” in trade parlance, on Scotch whisky to the UK under the bilateral trade deal if Britain doesn’t address its concerns on London’s new steel safeguard measures, the official said.
Resolution of Britain’s steel safeguard measures and carbon border adjustment mechanism (CBAM) are likely to be crucial for implementation of the India-UK Comprehensive Economic and Trade Agreement (CETA), which was signed on July 24, 2025.
UK Business and Trade Secretary Peter Kyle will arrive in New Delhi Tuesday to meet Goyal to discuss bringing the FTA into force as quickly as possible, a priority for both governments, the British High Commission said.
These issues have become a sticking point in the implementation of the CETA and the roll out of the pact would be difficult unless they are resolved, according to the official.
From 1 July 2026, the UK will limit tariff-free steel imports, reducing the overall quota volumes by 60% compared to the earlier steel measures. Any imports above these levels will face a 50% tariff.
Economic think tank GTRI expects India’s exports worth $775 million to the UK to get impacted due to the UK’s decision to introduce a carbon tax on products like iron and steel, aluminium, fertiliser and cement, from 2027.
Earlier, Goyal flagged concerns over this tax and conveyed that India may consider retaliation if the UK goes ahead with the plan.