Addressing the SRCC Centenary Conclave in Delhi, Goyal said the first tranche of the agreement had been finalised and was now going through the final stages of legal drafting.
He expressed hope that the process would be completed soon, paving the way for the deal to become operational.
“We hope to be able to finalise that soon and operationalise that once we get comparable advantage or competitive advantage over our peer countries,” Goyal said.
Trade negotiations moving in the right direction
Commerce Secretary Rajesh Agrawal also struck an optimistic note, saying negotiations on the proposed trade pact were progressing well and that both sides were aiming to conclude and sign the agreement at the earliest opportunity.
“Probably we are in a very good zone. We anticipate closing the deal and signing the deal at the earliest possible time,” Agrawal told reporters.
However, he noted that the timing of the agreement would depend partly on the formalisation of the overall US tariff structure.
According to Agrawal, parallel discussions are underway in Washington to determine the tariff framework.
The two countries would move towards signing the agreement at a mutually agreed time, taking into account the outcomes of investigations under Section 301 of the US Trade Act.
Jaishankar says deal is approaching a ‘landing point’
External Affairs Minister S Jaishankar has also indicated that the negotiations are moving towards a breakthrough.
Speaking at the Bloomberg New Economy Forum earlier this week, Jaishankar said the discussions were heading towards a “landing point”, while emphasising that the fundamental aspects of the India-US strategic partnership remained unchanged.
He noted that India must consider not only the terms it negotiates directly with Washington but also how its trade arrangements compare with those secured by competing economies.
Jaishankar said the relative position of other countries remained uncertain because several nations had yet to finalise their own agreements with the United States. He added that trade officials on both sides were working to resolve the outstanding issues.
India seeks competitive tariff terms
India and the United States have been negotiating the proposed bilateral trade agreement since early 2025, with the aim of addressing tariff disputes, reducing non-tariff barriers and expanding market access for businesses in both countries.
A key priority for New Delhi is securing favourable tariff treatment for Indian exports so that domestic industries remain competitive against suppliers from other countries in the US market.
Earlier this month, US Trade Representative Jamieson Greer said Washington and New Delhi were working towards finalising the agreement, although a deal was not imminent at the time.
He said the two sides had identified the outstanding issues and were continuing discussions to resolve them.
Trade pact amid strained bilateral ties
The negotiations come against the backdrop of a downturn in India-US relations following Washington’s imposition of punitive tariffs on Indian goods last year.
Tensions were further aggravated by US President Donald Trump’s claims about his role in de-escalating the India-Pakistan military clashes in May 2025, which drew sharp reactions from Indian officials.
Differences over immigration policy and the increase in H-1B visa fees have also added to the strain.
More recently, Washington’s decision to restrict a key green-card processing programme affecting major global technology companies, including Indian IT firms Tata Consultancy Services and Wipro, has placed further pressure on bilateral ties.
Despite these challenges, the progress reported by both countries’ trade officials suggests that New Delhi and Washington remain committed to working towards an agreement that addresses their economic concerns while preserving the broader strategic partnership.