NEW DELHI: The proposed India-US Interim Trade Framework is to be signed “very soon”, US Ambassador Sergio Gor said on Friday as negotiators from both sides work to finalize the contours of the deal.
“The signing of the contract will happen very soon,” Gor said. “Even this week, our teams are actively talking to each other.
Commerce Minister Rajesh Agarwal had earlier hinted that a mini trade deal could be concluded by March.
On India’s commitments to buy Russian oil, the newly appointed ambassador said that Delhi is working to “diversify” its oil options.
Gor said this while speaking to reporters on the sidelines of India’s AI Impact Summit 2026.
On February 6, India and the US agreed on an interim trade framework that advances their ongoing Bilateral Trade Agreement (BTA) negotiations, pledging to deepen market access, address barriers to digital trade and lay the groundwork for a comprehensive pact.
As part of the agreement, the US removed an additional 25% punitive tariff imposed on India for its purchases of Russian oil and reduced the reciprocal tariff on Indian goods from 25% to 18%. The revised rate is among the lowest compared to several of India’s competing export economies, including Bangladesh, Vietnam, Malaysia, Thailand and China.
“An Indian delegation led by the chief negotiator will visit the US next week to continue negotiations. Work is currently underway to translate the joint agreement into legally binding language,” Agarwal said on Monday.
“While it is difficult to set a date for signing the agreement, efforts are on and there is a possibility that the proposed mini agreement could be finalized by March,” Agarwal said.
An executive order to remove the 25% punitive duty imposed on India’s purchase of Russian oil was announced on February 6, while an order to adjust the reciprocal duty from 25% to 18% is likely to be announced soon.
The easing of tariff pressure comes against a backdrop of fluctuating export trends. Exports to the US fell to $6.58 billion in January from $7.01 billion in December, suggesting some easing despite resilience under higher tariff conditions. Exporters faced price and margin pressures during the period of increased tariffs.
However, cumulative shipments to the US during April-January rose 5.8% year-on-year to $72.46 billion, reflecting steady growth even amid uncertainty over tariffs.
Bilateral merchandise trade between India and the US reached $116.39 billion during April-January, with India posting a trade surplus of $28.53 billion. In the corresponding period of the previous fiscal year, total trade was $112.51 billion with a trade surplus of $27.41 billion.