USTR Says India Has Offered Its “Best-Ever” Proposal as High-Level Trade Talks Begin in Delhi

In a significant development for India-US economic relations, United States Trade Representative (USTR) Jameson Greer has revealed that Washington has received the best proposal yet from New Delhi regarding a proposed trade agreement. This statement comes just after the start of two-day high-level talks in Delhi on Wednesday, aimed at resolving the deepening tariff impasse. Speaking at a Senate Appropriations Subcommittee hearing in Washington on Tuesday, Greer expressed cautious optimism about a trade agreement. He acknowledged that while India remains a difficult challenge, the current direction of the talks is promising.

"The kind of proposals they're talking to us about... are the best we've ever received as a country," Greer told the Senate panel. He highlighted that while there remains resistance in India to opening markets for some US row crops, particularly corn, soybeans, wheat, and cotton, New Delhi's stance on other sectors has been "very positive and forward-looking." Greer indicated Washington's growing interest in diversifying its export destinations, saying, "I think this is a viable alternative market."

These comments have created a constructive backdrop for important discussions underway in New Delhi. A US delegation led by Deputy Trade Representative Rick Switzer began formal talks on Wednesday. Switzer held detailed discussions with Indian Commerce Secretary Rajesh Aggarwal to review progress on the proposed bilateral trade agreement.

The Commerce Department confirmed in a statement on social media, "The two sides exchanged views on matters related to India-US trade and economic relations, including ongoing negotiations for a mutually beneficial bilateral trade agreement." The talks are taking place amid considerable pressure. The Trump administration recently imposed a hefty 50 percent tariff on Indian goods entering US markets. This initially included a 25 percent tariff, citing a trade deficit of approximately US$46 billion (2024-25), followed by an additional 25 percent penalty linked to India's purchase of Russian crude oil.

For Indian industry and exporters, any breakthrough in these talks is crucial. The US accounts for approximately 18 percent of India's total merchandise exports, and prohibitive tariffs are severely impacting competitiveness. Merchandise exports to the US declined for the second consecutive month in October, falling 8.58 percent to US$6.3 billion.