'Progress being made!': US team arrives in India as headway made towards finalising interim trade deal
New Delhi, June 3
US Ambassador to India Sergio Gor on Tuesday welcomed Assistant Trade Representative Brendan Lynch to India as the two countries continue to make progress in finalising the bilateral trade deal.
In a post on X the US Ambassador shared that progress is being made under the efforts guided by the vision of Prime Minister Narendra Modi and US President Donald Trump aimed at deepening the trade and investment linkages between the two countries.
"Always great to see Assistant @USTradeRep Brendan Lynch! Brendan and his team are in town to continue finalizing the interim trade deal. Our efforts are guided by President Trump and Prime Minister Modi's vision of enhancing trade and investment between our countries. Progress is being made!"
His visit comes as amid the announcement by the United States on Tuesday (local time) about the proposal of a fresh slew of additional tariffs of 10 per cent and an additional duty of 12.5 per cent on key global economies, claiming that investigations have revealed goods being imported from 60 countries are produced via forced labour.
The USTR listed 54 economies including India-- which it claimed have failed to impose and effectively enforce a prohibition on the importation of goods produced with forced labour. The list includes countries such as Australia, China, India, Israel, Japan, Qatar, and Russia. Other countries listed included Saudi Arabia, Singapore, South Korea, Sri Lanka; Switzerland, Taiwan, Thailand, Turkiye UAE, the United Kingdom.
According to the USTR, economies that already have some form of forced labour import prohibition, or have committed to implementing such measures through trade agreements, could face an additional tariff of 10 per cent. Other economies may face a 12.5 per cent additional duty.
The fresh salvo of proposed tariffs comes at a time when Indian negotiators are set to focus on securing preferential market access against competitors during talks with the visiting US team to finalise the bilateral trade agreement (BTA), sources said on Monday.
In response to the latest notice from USTR the Government said it continued to remain engaged with the US.
"As per the report, the proposed tariffs are not yet final and stakeholders can submit requests to participate in public hearings by 22 June 2026. Written comments can be submitted until 6 July 2026. Public hearings will be held on 7 July 2026. The USTR will consider the comments and testimony received before taking a final decision on the proposed measures. India remains engaged with the U.S. on the matter as a part of Section 301 proceedings. India is also parallelly engaged with the US for finalisation of a framework agreement as was announced on 2nd February 2026 and in accordance with the joint statement released on 7th February 2026," the statement said.
The talks, scheduled June 1-4, are led by US Chief Negotiator Brendan Lynch and India's Additional Secretary Darpan Jain
.According to the Ministry of Commerce, the round will finalise details of the interim pact and advance negotiations under the broader BTA on market access, non-tariff measures, customs and trade facilitation, investment promotion and economic security alignment.
— ANI
Reader Comments
Good to see diplomatic progress but honestly skeptical about these "interim" deals - they always seem to benefit big corporations more than common citizens. And that forced labour accusation feels like a pressure tactic to extract concessions from India. We should stand firm on our interests, especially for our textile and pharma exports.
The US calling out "forced labour" while India has robust legal frameworks is just negotiating tactics. But I appreciate the government's measured response - staying engaged is smart. Hope this trade deal opens more opportunities for Indian startups and MSMEs. The dates for public hearings in 2026 suggest there's still time for sensible discussions.
I wish our government would be more transparent about these negotiations. The 10-12.5% tariffs threat is serious - could hurt our exports. But seeing both sides talking is positive. Just hope we don't give away too much on agricultural imports that could harm our farmers. Bharat needs a win-win deal not a one-sided one!
As an American living in India, I'm cautiously optimistic. Both countries need this deal - India wants better market access for IT and pharma, US wants lower tariffs on agricultural and tech goods. The forced labour claim seems like standard USTR procedure but shouldn't derail talks. Hope Lynch and Jain reach a pragmatic agreement this week.
Moderate progress is fine but we need concrete outcomes not just diplomatic visits. The forced labour accusation is insulting to Indian workers who have strong protections under the Factories Act and labour codes. Our negotiators must push back firmly. Also, these tariffs would hurt global supply chains - not just India.
We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.