India and the United States are expected to sign a long awaited formal trade agreement in March a development that could significantly reshape economic relations between the two countries Trade Minister Piyush Goyal said on Thursday.
Under the agreement New Delhi will reduce tariffs on American goods while Washington will cut duties on Indian exports from 50 percent to 18 percent. A joint statement outlining the deal’s framework is expected within four to five days providing the first official timeline since the agreement was announced earlier this week.
The deal initially unveiled by US President Donald Trump includes provisions for India to halt purchases of Russian oil and for both countries to lower trade barriers. Goyal highlighted that India plans to import at least $500 billion worth of energy aircraft semiconductors and other goods from the United States over the next five years.
Aircraft orders alone from US companies such as Boeing could reach between $70 billion and $80 billion, potentially exceeding $100 billion when engines are included.
The agreement has attracted attention domestically and internationally. While senior leaders from both countries have welcomed the deal analysts continue to scrutinize its strategic and economic implications for trade investment and broader bilateral cooperation.
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