India–U.S. Trade Deal: Joint Statement Likely Within Days, Legal Pact by Mid-March Union Minister Piyush Goyal. New Delhi | February 5, 2026 India and the United States are set to take a significant step forward in strengthening their bilateral economic ties, with a joint statement on the India–U.S. trade deal expected to be finalised and signed within the next four to five days, Commerce and Industry Minister Piyush Goyal said on Thursday. Addressing the media amid ongoing discussions around the framework of the agreement, Goyal clarified that the proposed deal represents the first tranche of a broader Bilateral Trade Agreement (BTA) between the two countries. He added that this initial phase would pave the way for deeper trade cooperation in the coming months. According to the Minister, once the joint statement is signed, the United States is expected to issue an executive order reducing tariffs on Indian goods to 18 per cent. This marks a significant reduction from the current tariff regime, under which Indian exports face a 25 per cent reciprocal tariff, along with an additional 25 per cent levy linked to India’s purchase of Russian crude oil. Earlier this week, Prime Minister Narendra Modi had announced that “Made in India” products would soon benefit from reduced tariffs in the U.S., following a telephonic conversation with U.S. President Donald Trump. The announcement was seen as a major boost for Indian exporters, particularly in manufacturing and labour-intensive sectors. Goyal further stated that the joint statement would be followed by a detailed legal agreement, which is expected to be completed and signed by mid-March. “The joint statement will outline the broad contours of the agreement, after which an exhaustive legal document will be prepared,” he said, adding that the first tranche does not include any direct investment commitments. Commerce Secretary Rajesh Agrawal echoed this timeline, expressing confidence that the legal agreement would be signed by mid-March. “Once the joint statement is issued, it will be converted into a legally binding agreement. We are hopeful of completing that process within the stipulated time,” he said. Officials indicated that the agreement is aimed at providing immediate tariff relief while laying the foundation for a comprehensive trade pact that could address market access, regulatory cooperation, and long-term economic engagement between the two strategic partners. The India–U.S. trade deal is being closely watched by industry stakeholders on both sides, as it is expected to unlock new opportunities for exports, improve competitiveness, and reinforce the growing economic partnership between New Delhi and Washington.
