A planned visit by US trade negotiators to New Delhi from August 25 to 29 has been cancelled, a source with direct knowledge of the matter said, delaying progress on a proposed bilateral trade agreement and dashing hopes of relief from additional US tariffs set to hit Indian goods on August 27.
The source confirmed that the latest round of negotiations is now likely to be postponed to an as-yet undecided date. The US embassy in New Delhi said it had “no additional information” on the status of trade and tariff discussions, which are being managed by the United States Trade Representative (USTR). India’s trade ministry did not immediately respond to a Reuters request for comment.
Earlier this month, US President Donald Trump announced an additional 25% tariff on Indian goods, citing New Delhi’s continued imports of Russian oil. The move sharply escalated trade tensions between the two countries. The new import duty, due to take effect on August 27, will raise levies on some Indian exports to as high as 50% — among the steepest imposed on any US trading partner.
Talks between Washington and New Delhi had already faced difficulties. After five rounds of negotiations, discussions collapsed over disagreements on opening India’s farm and dairy sectors and on demands that New Delhi curtail Russian oil purchases.
India’s Foreign Ministry has countered that the country is being unfairly targeted for continuing oil imports from Russia, while both the United States and the European Union maintain their own purchases of Russian goods.
