India is negotiating a US trade deal planned in three phases, aiming to finalize an interim agreement before July, when President Donald Trump’s reciprocal tariffs are scheduled to take effect, according to officials in New Delhi familiar with the talks. The initial agreement is expected to address market access for industrial goods, select agricultural products, and some non-tariff barriers like quality control standards, the sources said, requesting anonymity due to the confidential nature of the discussions.

The negotiations are ongoing, and it remains unclear if the Trump administration has formally accepted the proposed three-stage framework. India’s Commerce Minister Piyush Goyal is currently in Washington on a four-day visit, ending Tuesday. On social media platform X, Goyal mentioned having “productive discussions” with US Commerce Secretary Howard Lutnick about advancing the first phase of the trade deal. He is also scheduled to meet US Trade Representative Jamieson Greer during the trip.

Requests for comments from India’s Ministry of Commerce and Industry, Ministry of External Affairs, the US Trade Representative, and the Commerce Department have yet to be answered. The second phase of the India-US trade deal is expected to be a broader, more detailed agreement, potentially finalized between September and November. It will likely cover 19 areas outlined in the terms of reference agreed upon by both countries in April. This timeline may coincide with a planned visit by President Trump to India for the Quad leaders’ summit, according to one source.

The final phase is anticipated to be a comprehensive agreement requiring approval from the US Congress, possibly concluding next year, officials said. India was among the first countries to initiate trade talks with the US after Prime Minister Narendra Modi’s visit to the White House in February, shortly after Trump took office. Both leaders agreed to enhance trade relations and aimed to conclude the first phase of the bilateral deal by fall. Since then, New Delhi has indicated the possibility of achieving “early mutual wins” before the fall deadline.

Although Indian officials say the talks remain on track, recent developments suggest rising tensions. New Delhi has taken a firmer stance, warning of retaliatory tariffs on US goods last week. Meanwhile, Trump claimed that India offered to reduce tariffs on US goods to zero but appeared to downplay urgency in reaching a deal. Additionally, Trump’s comments about using trade negotiations to broker a ceasefire between India and Pakistan have caused frustration in New Delhi. Trump repeatedly stated that he leveraged trade as a bargaining chip to secure a truce following four days of military conflict between the two nations, assertions that Indian officials have denied.