India and the United States are aiming for an early interim trade agreement, with both sides expressing optimism
May 24, 2026: S. Jaishankar and Marco Rubio on Sunday said India and the United States are working towards an early conclusion of an interim trade agreement aimed at strengthening economic ties between the two countries. Speaking at a joint press conference in New Delhi, Jaishankar said both sides discussed the importance of finalising the text of a reciprocal and mutually beneficial trade arrangement at the earliest. He added that an American delegation is expected to visit India soon to continue negotiations following recent discussions held in Washington.
Rubio expressed confidence that the two countries are close to achieving a durable and sustainable trade agreement that would benefit both sides. Referring to ongoing discussions, Rubio said tremendous progress had been made and that the deal would address the national interests of both nations. However, neither side provided a specific timeline for finalising the interim agreement. Rubio also attempted to ease concerns over tariff tensions after Donald Trump imposed heavy tariffs on Indian exports, including additional levies linked to India’s Russian energy purchases. He said the tariff measures were part of a broader US effort to rebalance global trade and not specifically targeted at India.
The discussions also covered cooperation in areas such as artificial intelligence, semiconductors, critical minerals and nuclear energy. Rubio highlighted India’s participation in Pax Silica, a US-led initiative focused on secure supply chains for AI technology and semiconductors, while Jaishankar said India’s growing semiconductor and AI capabilities would further strengthen bilateral cooperation. Jaishankar also stressed India’s need to ensure affordable and accessible energy supplies for its 1.4 billion people and welcomed the recent expansion in India-US energy trade. He added that India’s Shanti Act has opened new possibilities for nuclear cooperation between the two countries.