India-US Trade Can't Be Doubled Without Tariffs Being Reduced, BTA Early Harvest By July 9: Official

India has made it clear that any meaningful expansion in bilateral trade with the United States will require a significant reduction in tariffs. India's trade with the US cannot be doubled unless tariffs are reduced, a senior government official told NDTV Profit.

This comes as both sides work towards concluding the early harvest of a bilateral trade agreement by July 9.

While both countries are aligned on the need to increase market access, the items and sectors of interest will differ. The list of items for market access will not be the same for both. It should be the endeavour of both countries to lower tariffs, the official said on the condition of anonymity.

India is also pushing for 'preferential and sustained' trade advantages, but has left it to Washington to decide the route it takes to reduce its tariff barriers—whether through the Trade Promotion Authority, or by seeking Congressional approval.

The government is also monitoring the impact of the 50% steel and aluminium and 25% auto tariffs imposed by the Trump administration. While the auto components sector is not seeing a big dent presently, there may be an impact if the tariffs continue. If some countries get an exemption, then India will also pursue it, the official said.

The US delegation visited India between June 5–11 for in-depth discussions. The first tranche of the BTA with US is on track for completion by September–October 2025, according to people in the know. Meetings will continue in both physical and virtual formats in the coming weeks.

Government officials remained optimistic that the deal can be wrapped up within the timelines set by leaders PM Modi and President Donald Trump.