US says India 'most essential' partner as trade talks resume
What's the story
Sergio Gor, the newly appointed US Ambassador to India, said "there's no partner more essential than India." The statement comes days after India rejected claims made by US Commerce Secretary Howard Lutnick that PM Narendra Modi's refusal to directly engage President Donald Trump was a key reason behind the stalled India-US trade deal. Gor confirmed that the next round of trade talks between India and the United States will take place tomorrow.
Diplomatic goals
Gor's mission and commitment to India-US partnership
Gor, who took over as US Ambassador to India on Monday, said he has a "clear mission to take the India-US partnership to the next level." He expressed his excitement about taking up the role and thanked Trump for trusting him with this responsibility. Gor also emphasized that while trade is important, it's not the only thing they will be working on together.
Negotiation challenges
US-India trade talks: A complex journey
Gor acknowledged the difficulties in finalizing a trade deal but reiterated both countries' commitment to continue cooperation across various sectors. These include security, counter-terrorism, energy, technology, education, and health. His comments come at a sensitive time for India-US trade ties as negotiations are yet to yield results. India continues to face steep tariffs of 50% and was recently threatened by a Trump-backed proposal to level 500% tariffs on countries buying Russian oil.
Diplomatic visit
US Deputy Trade Representative's visit to India
Last month, US Deputy Trade Representative Rick Switzer and his team visited New Delhi to review the negotiations. Indian industry bodies and exporters are keeping a close eye on developments as high import duties continue to impact shipments to the US. Despite exploring alternative markets, the US remains crucial, accounting for around 18% of India's total exports. The US was India's largest trading partner in 2024-25, with trade reaching nearly $132 billion.
Trade concessions
Proposed agreement and India's stance
Under the proposed agreement, the US has sought duty concessions on farm products such as almonds, corn, and apples, along with industrial goods. However, India has opposed concessions in agriculture and dairy to protect farmers and MSMEs. In February 2025, both nations' leaders had directed their officials to finalize the deal with a target of concluding the first tranche by fall 2025. The aim is to increase bilateral trade to $500 billion by 2030.