India US trade deal 2025gains momentum as MEA pushes for quick agreement

In the fast-paced world of global trade, India and the US are now ramping up efforts to seal a big trade deal. This comes as both nations face tough hurdles, like new US tariffs and a fresh sanctions twist on Iran’s Chabahar port. On September 19, 2025, MEA spokesperson Randhir Jaiswal shared positive notes during a press briefing in New Delhi. He said talks with US officials were “positive and forward-looking.” Moreover, both sides agreed to speed things up for a fair trade pact.

But wait, there’s a catch. The US just pulled back a key sanctions waiver for Chabahar port, effective September 29, 2025. India is now digging deep into what this means. For instance, this port is India’s lifeline to Central Asia, skipping Pakistan’s routes. Jaiswal noted, “We have seen the U.S. statement regarding revocation of sanctions waiver for Chabahar port; we are presently examining its implications for India.” These words highlight the mix of hope and worry in India-US ties.

As tensions ease on trade, the Chabahar move adds spice. President Donald Trump slapped 25% tariffs on Indian goods in early August 2025, later hiking them to 50% over India’s Russian oil buys. This hit hard, with exports like textiles and gems facing big losses. However, recent chats show a thaw. A US team, led by Assistant USTR Brenden Lynch, met India’s Commerce Ministry on September 16, 2025. They covered deal aspects and vowed to push for an early wrap-up.

This push feels vital now. India-US trade hit $131.84 billion in 2024-25, with India exporting $86.5 billion. The US is India’s top partner, taking 18% of its goods exports. Yet, tariffs could slash that by 43%, per think tanks. Sectors like apparel, jewelry, and seafood stand to lose billions. Exporters warn of job cuts in hubs like Agra and Surat. On the flip side, pharma and electronics dodge the hit, giving some relief.

Diving deeper into the trade deal buzz, sources say India eyes a Bilateral Trade Agreement (BTA) by fall 2025. Five rounds of talks have passed, focusing on market access. India resists opening dairy and farms to US goods, guarding its 150 million farmers. Trump calls Modi a “friend,” even phoning on his birthday. Still, no tariff fix yet. Chief Economic Adviser V. Ananth Nageswaran hints at a 15% rate soon, easing pain.

Trump’s “maximum pressure” on Russia ties into this. India saved $17 billion on cheap Russian oil since Ukraine’s war started. But US sees it as funding Moscow. Therefore, tariffs aim to nudge India to the table. Modi stays firm, pushing “Atmanirbhar Bharat” for self-reliance. He cut GST on hundreds of goods in September 2025 to boost home buys and offset tariff blows.

Now, let’s talk Chabahar. This port isn’t just docks—it’s India’s smart play against China-Pakistan’s Gwadar. Signed in 2016, India poured $120 million into Shahid Beheshti terminal via India Ports Global Limited (IPGL). A 10-year deal in May 2024 locked in operations. Why care? It links to the International North-South Transport Corridor (INSTC), slashing freight costs by 30% and time by 40% to Russia and Europe. From Chabahar, roads hit Afghanistan’s Herat and Kabul, then Central Asia’s Kazakhstan and Uzbekistan.

Central Asia craves this. Landlocked nations eye Indian markets for energy and minerals. Chabahar handled 8 million tonnes of cargo last year, up 34% in containers. But, US revocation under IFCA ends the 2018 waiver for Afghan aid. Now, operators risk sanctions. Indian firms could face US bank blocks or fines. This threatens $500 million in plans, including rail to Hajigak mines.

Experts weigh in. Ajay Srivastava of Global Trade Research Initiative calls tariffs a “strategic shock,” risking 70% export drops in key sectors. On Chabahar, ORF’s Ayjaz Wani says it’s India’s “gambit” for Eurasian sway, countering China’s Belt and Road. From Quora threads, readers search “Chabahar vs Gwadar: India’s edge?”—answers stress bypass power. Reddit’s r/geopolitics buzzes with “Will sanctions kill INSTC?” Users note India’s pivot to EU deals, like the UK FTA.

For global eyes, this spans continents. In Europe, INSTC cuts Suez reliance amid Red Sea woes. Africa ties via Indian Ocean trade. Asia’s heart—Central republics—gains from diversified routes. Americas feel tariff ripples in supply chains. Australia, via Quad, watches India-US balance.

At AMERICA NEWS WORLD (ANW), we track these shifts for you. Our site, america112.com, dives into US-India stories with fresh takes.

To crunch numbers, here’s a simple table on India-US trade trends. Data from Trading Economics and US Census shows growth, but tariffs loom.

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For visuals, imagine a line graph: X-axis years 2020-2025, Y-axis billions. Exports climb steady to 2024, then dip sharp in 2025. Bars for deficits grow red. (Mobile-friendly: Scroll horizontal on phones.) This underscores urgency—deal could rebound to $500B by 2030, per Modi-Trump goals.

From Brainly and Chegg, students query “Impact of Chabahar on INSTC?”—it’s a 7,200-km route slashing Europe-India time. WikiHow guides “How to track trade deals?” stress following MEA updates. Politifact debunks myths: Tariffs aren’t “just talk”—they’re real hits.

Looking ahead, Jaiswal dodged Modi’s UNGA trip but stressed the “special partnership.” India commits to Quad and defense buys, like $3.6B paused deals (now denied). In addition, H-1B fee hikes to $100K irk IT firms, pushing local hires.

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