InfoSAWIT, NEW DELHI – The Governments of India and the United States are expected to begin implementing an interim trade agreement in April 2026 as an initial step toward a broader bilateral trade pact in the future.

According to India Times, as published online by InfoSAWIT on Monday (February 23, 2026), India’s Minister of Commerce and Industry Piyush Goyal stated that negotiators from both countries are scheduled to meet in the United States from February 23 for three days to finalise the legal framework of the interim agreement.

The agreement includes tariff reductions for selected goods, expanded energy trade, and enhanced economic cooperation. Under the proposed framework, the United States is expected to reduce reciprocal tariffs on Indian products from 25% to 18%.

As part of the arrangement, India has committed to importing US-origin goods worth US$500 billion over the next five years, including oil and gas, coking coal, aircraft and spare parts, precious metals, and advanced technology products such as graphics processing units (GPUs).

In return, India will lower or eliminate tariffs on several US industrial and agricultural products, including dried distillers’ grains, red sorghum, tree nuts, fresh and processed fruits, soybean oil, and alcoholic beverages.

The agreement is also expected to improve market access for India’s agriculture, fisheries, and small and medium enterprises to the US market valued at approximately US$30 trillion. (T2)