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India-U.S. Trade Deal: Deadlock over Agri Continues, but Trump Surprise Not Ruled Out

INDIA, JUL 21 – Negotiations focus on avoiding 26% US tariffs by August 1 amid deadlock over agriculture, dairy, steel, and automotive sectors in a $131 billion bilateral trade relationship.

  • Sources told NDTV Monday evening that in New Delhi, the interim trade agreement is close to finalisation, with an announcement expected by September or October.
  • Tariff imposition was delayed until July 9 and then to August 1, prompting postponed deadlines and urgent negotiations.
  • Negotiations have stalled, with New Delhi refusing to open its agriculture and dairy sectors and Washington resisting duty relief on steel, aluminium and autos.
  • With no extension likely, US officials indicated no further postponement on August 1, as India faces the risk of tariffs amid ongoing uncertainty.
  • Plans are now oriented toward a broader deal by Fall 2025, with preparations guided by the US delegation's arrival in August, sources told NDTV.
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The Straits Times broke the news in Singapore on Monday, July 21, 2025.
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