Fact Check: "India expected to strike a trade deal with Trump, but negotiations drag on."
What We Know
Negotiations between India and the United States regarding a trade deal have been ongoing, with significant developments reported in recent months. In February 2025, Indian Prime Minister Narendra Modi and then-President Donald Trump agreed to work towards concluding the first phase of a bilateral trade agreement by autumn 2025, aiming to expand trade to $500 billion (Reuters). However, reports indicate that these negotiations are facing considerable challenges. India is reportedly resisting tariff cuts without firm commitments from the U.S., particularly concerning a 26% reciprocal tariff and lower steel tariffs (Reuters).
Additionally, a recent article noted that efforts to finalize a "mini-deal" are dragging on, with expectations that India would be a front-runner in striking an interim agreement to alleviate some trade tensions and set the stage for a more comprehensive deal later (The Economist).
Analysis
The claim that India is expected to strike a trade deal with Trump but that negotiations are dragging on is supported by multiple credible sources. The agreement between Modi and Trump in February to finalize a trade deal by autumn 2025 indicates a clear intention to move forward (Reuters). However, the ongoing roadblocks, particularly India's reluctance to make concessions without U.S. commitments, highlight the complexities of the negotiations (Reuters).
The reliability of the sources cited is high. Reuters is known for its rigorous journalistic standards and has a strong reputation in international reporting. The Economist, while also reputable, can sometimes present a more opinionated perspective, which may influence the framing of the narrative. Nevertheless, both sources provide valuable insights into the current state of negotiations.
Moreover, the urgency of concluding a deal before potential tariff hikes by Trump adds pressure to the negotiations, which could explain why they are perceived as dragging on (The Economist). The expectation of a "mini-deal" suggests that while progress is being made, significant hurdles remain.
Conclusion
The claim that "India expected to strike a trade deal with Trump, but negotiations drag on" is Partially True. While there is a clear expectation and intention to finalize a trade deal, the ongoing negotiations are indeed facing significant challenges that have delayed progress. The complexities surrounding tariff negotiations and the need for reciprocal commitments illustrate the difficulties in reaching an agreement.
