Goyal Says First Tranche of India-US Trade Deal Is Finalised, Drafting Onਗੋਇਲ: ਭਾਰਤ-ਅਮਰੀਕਾ ਵਪਾਰ ਸਮਝੌਤੇ ਦਾ ਪਹਿਲਾ ਪੜਾਅ ਤੈਅ, ਕਾਨੂੰਨੀ ਖਰੜਾ ਜਾਰੀ

Commerce Minister Piyush Goyal said on Thursday, October 15, that the first tranche of the India-US bilateral trade agreement has been finalised and is now going through legal drafting. He added that the deal will be put into effect only once India secures a competitive advantage over peer countries. The announcement comes two days before US Secretary of State Marco Rubio begins a visit to India.

What exactly did Goyal say?

Speaking at the SRCC Centenary Conclave in New Delhi, Goyal said, "US bilateral trade agreement's first tranche has been finalised and it is going through final contours, the legal drafting, and we hope to be able to finalise that soon and operationalise that once we get the comparable advantage or competitive advantage over our peer countries." The New Indian Express reported that he also called his remarks consistent with what he has said before, adding "nothing new in that". He said the free trade agreement with the European Union would be signed in December and take effect in February or March next year, according to India Today.

What do the officials say about timing?

Commerce Secretary Rajesh Agrawal told reporters that talks are in "a very good zone" and that India hopes to close and sign the deal at the earliest. He said signing depends partly on the United States formalising its overall tariff structure, including the outcome of its Section 301 investigations, and that India wants preferential market access compared with its competitors. US Ambassador Sergio Gor said at the Bloomberg New Economy Forum in Delhi that "the big picture, the big framework, the big items are done" and that the two sides are "very close to landing it", the Economic Times reported.

Why has the deal taken so long?

A framework for the first tranche was announced in February, but changes in the US tariff landscape led to fresh negotiations, The New Indian Express reported. The Economic Times notes that Washington has had to revisit parts of its trade arrangements after a US Supreme Court ruling against its use of emergency economic powers to impose tariffs. Earlier this month US Trade Representative Jamieson Greer said a deal was not imminent but that the sticking points had been identified, and on October 5 Finance Minister Nirmala Sitharaman said talks had reached a "plateau".

What is at stake for India?

India's exports to the US grew only 0.92 per cent to $87.3 billion in 2025-26 despite high tariffs, while imports rose 15.95 per cent to $52.9 billion, narrowing India's trade surplus with the US to $34.4 billion from $40.89 billion a year earlier, The New Indian Express reported. Agrawal said India expects more clarity on the Lindsey O Graham Sanctioning Russia and Iran Act of 2026, which lets President Donald Trump impose tariffs of up to 100 per cent on major buyers of Russian oil and gas, when the pact is signed.

What happens next?

Rubio will travel to Uzbekistan and India from October 17 to 22 to meet government and business leaders on energy cooperation and commercial investment, according to the US State Department as reported by the Economic Times. Reports say his India stops include Mumbai and Jamnagar.

Has the India-US trade deal been signed?

No. Goyal says the first tranche is finalised and in legal drafting, but officials say signing depends partly on the US tariff framework, and no signing date has been announced.

Why does India want a competitive advantage before the deal starts?

Goyal and Agrawal have said India wants preferential market access in the US compared with rival exporters, so that Indian goods gain from the deal once it takes effect.