‘Very close’: India may be first to sign trade pact, says US treasury secretary Scott Bessent

India might develop into the first nation to strike a bilateral trade deal with the United States below President Donald Trump’s push for “reciprocal” tariffs, US treasury secretary Scott Bessent stated.
Speaking to a gaggle of reporters in Washington on Wednesday, Bessent instructed that negotiations with India had been “very close” to a breakthrough, reaching a profitable conclusion because the world’s most populous nation doesn’t have “so many high tariffs.
Indian exports are set to face a 26 per cent reciprocal tariff, which are scheduled to come into effect on 8 July. At present, they are subjected to a 10 per cent tariff under the existing trade policy introduced during the Trump administration.
“India also has fewer non-tariff trade barriers, obviously, no currency manipulation, very, very little government subsidies, so that reaching a deal with the Indians is much easier,” Bessant stated, quoted by the New York Post.
The feedback had been made on the sidelines of the World Bank and International Monetary Fund’s annual conferences in Washington DC, the place trade tensions and world financial shifts have been key matters.
President Trump has made it clear that he desires international governments to slash their tariff and non-tariff restrictions on American items and assist cut back the US trade deficit. India, the world’s most populous nation, might be the first to safe a trade pact that meets these phrases.
The push for a deal comes as US Vice President JD Vance visited Jaipur on Tuesday, urging India to take away remaining non-tariff obstacles, open its markets additional, and step up imports of American vitality and defence tools. He referred to as for stronger financial ties as a part of a imaginative and prescient for a “prosperous and peaceful” twenty first century between the 2 democracies.
Trade figures replicate the rising significance of the connection. The New York Post cited US census bureau information displaying that India made up almost 3 per cent of US imports as of February. In 2024, the US trade deficit with India stood at $45.7 billion, in accordance to the workplace of the US trade consultant.