Will India backtrack from India-US trade deal?:Govt official says actual signing of agreement will be done when new architecture of tariffs is in place

Commerce Secretary Rajesh Agrawal said on Monday, 16 March 2026, that, actual signing of the India-US trade deal will be done when the new architecture of tariffs is in place. Agrawal adds that discussions are going on regarding details with the US. Additionally, the Ministry of Commerce said that India had launched negotiations for a Bilateral Trade Agreement (BTA) with the United States in March 2025. On 7 February, 2026, India and the United States announced that they had reached a framework for an interim agreement regarding reciprocal and mutually beneficial trade. Additionally, the Ministry of Commerce said that India is currently negotiating six Free Trade Agreements (FTAs) with different countries and regional groups as part of its efforts to expand trade partnerships. The ministry said negotiations are ongoing with Australia, Sri Lanka, Peru, Chile, the Eurasian Economic Union (EAEU), and Israel. India had begun discussions for FTA with Israel. The first round of negotiations between the two countries was held in February 2026. Apart from the ongoing negotiations, the ministry also highlighted progress in other trade agreements. India has signed FTAs with the United Kingdom on July 24, 2025 and with Oman on December 18, 2025.
Meanwhile, negotiations for FTAs with New Zealand and the European Union have already been concluded. Background: Earlier, US Supreme Court had struck down the tariffs imposed by Trump on countries worldwide. As a result of this ruling, the 18% reciprocal tariff imposed on India had been declared illegal. Trump had originally invoked the IEEPA law in April 2025, citing national security, to impose tariffs on nearly 100 countries. The Supreme Court, in a 6-3 majority, had ruled that Trump did not have the authority to use the IEEPA law. This power belonged not to the President, but solely to Congress. After the court’s decision, Trump addressed a press conference, during which he announced new tariffs on countries worldwide under a new law (Section 122). He imposed 10% tariffs then later on increased it to 15%.