India-US Bilateral Trade Agreement (BTA) Framework
The India-US trade relationship has historically been marked by periodic friction over tariffs, market access, and non-tariff barriers. The current interim trade deal announced in February 2026 is the first comprehensive trade framework between the two countries, preceded by earlier attempts at a limited trade package during 2019-20 that failed to materialize.
- Bilateral trade in goods (FY 2024-25): approximately $129 billion; trade deficit in favour of India
- The BTA negotiations were launched by President Trump and PM Modi on 13 February 2025
- US reciprocal tariff on Indian goods: 18% (reduced from threatened 50%); India's weighted average MFN tariff: approximately 14%
- India removed from the US Generalized System of Preferences (GSP) in June 2019; not yet restored
- Key US demands historically: greater access for dairy products (India's concerns over veterinary drug residues), medical devices (price controls under NPPA), IPR (patent regime, data exclusivity), and government procurement (India is not a signatory to the WTO Government Procurement Agreement)
- The deal framework includes "additional market access commitments and support more resilient supply chains"
● Tracked since February 10, 2026 · last seen June 24, 2026 · updates as the daily brief publishes
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