Jaishankar discusses early conclusion of BTA with US Secretary of State

Subrahmanyam Jaishankar, external affairs minister, said he spoke to United States Secretary of State Marco Rubio on the early conclusion of the Bilateral Trade Agreement (BTA).

 

"Agreed on the importance of the early conclusion of the Bilateral Trade Agreement," he said on social media platform X.

 

Jaishankar also discussed thoughts on international relations. "Exchanged perspectives on the Indo-Pacific, the Indian sub-continent, Europe, Middle East/West Asia, and the Caribbean," he added in an X post.

 

This development comes as the country has been negotiating a BTA with the US in order to avoid hefty reciprocal tariffs imposed by US President Donald Trump on the so-called "Liberation Day".

 

Trump has imposed 27 per cent tariffs on all Indian goods. "President Trump will impose an individualised reciprocal higher tariff on the countries with which the United States has the largest trade deficits," read a White House fact sheet. 

 

On "Liberation Day", April 3, Trump claimed that India imposes a 52 per cent tariff on US goods.

 

He also imposed steep tariffs on several key trading partners as part of a broader protectionist push. China faced the highest combined rate, with an additional 34 per cent tariff bringing its total effective duty to 54 per cent when including earlier levies. Other countries targeted included the European Union with a 20 per cent tariff, Japan at 24 per cent, and South Korea at 25 per cent.

 

Southeast Asian exporters were also hit, with Vietnam facing a 46 per cent tariff and Cambodia the highest at 49 per cent. These measures were positioned as efforts to reduce the US trade deficit and bolster American manufacturing.

 

The commerce department had earlier said that India and the US hope to conclude the first tranche of the trade deal by the fall of this year.

 

The commerce department is negotiating with the US Trade Representative (USTR) team to formalise a trade deal that covers various sectors.