The Ministry of External Affairs stated on Tuesday that work is still in progress towards the finalisation of the interim bilateral trade agreement between India and the United States.

Officials emphasised that both sides have already undertaken considerable work in this regard, signalling that negotiations remain active and constructive.

MEA Spokesperson Randhir Jaiswal made the remarks during a bi‑weekly media briefing in New Delhi. He was responding to questions about the latest tariff measures announced by the Trump administration and the legal challenges mounted by several American states against those measures.

Jaiswal confirmed that the conversation between India and the United States on the proposed bilateral trade agreement is ongoing. He noted that both sides have invested significant effort and continue to engage on outstanding issues that require resolution before the interim agreement can be finalised.

In July, Washington unveiled new tariff slabs of 10 and 12.5 per cent under Section 301 of the Trade Act of 1974. India was placed in the lower 10 per cent bracket, a position that reflects ongoing engagement between the two governments. Jaiswal acknowledged that while progress has been made, certain matters still need to be settled before the agreement can be concluded.

His comments coincided with a major legal development in the United States. A coalition of 25 states has filed a lawsuit against the Trump administration, contesting its latest round of tariffs on imports from the European Union and nearly 60 other countries.

The tariffs were introduced to prohibit imports produced with forced labour, but the states argue that the measures exceed the administration’s legal authority and would increase costs for American consumers and businesses.

The lawsuit was filed in the US Court of International Trade and is being led by California Attorney General Rob Bonta, joined by the attorneys general of Arizona and Oregon. The case challenges the tariffs imposed following investigations conducted under Section 301, which had been used to justify the new duties. The coalition contends that the administration’s actions are unlawful and risk undermining economic stability.

This legal challenge adds a new dimension to the ongoing trade discussions between India and the United States.

While New Delhi continues to work towards finalising the interim agreement, the outcome of the litigation in Washington could influence the broader trajectory of US trade policy and its impact on global partners.

India’s placement in the lower tariff bracket is seen as a positive outcome of its engagement with Washington, but the unresolved issues highlight the complexity of the negotiations. Both governments remain committed to advancing the agreement, which is expected to strengthen economic ties and provide greater certainty for businesses on both sides.

ANI