India is finalising its trade strategy with the United States as Donald Trump prepares to return to office as President. The government is consulting with industry to identify export priorities, referred to as ‘offensive asks’, while keeping all options open, including a potential mini-trade deal and a response to Trump’s anticipated trade retaliation.
“We have asked the industry how they view trade with the US and the possible impact of Trump’s pronouncements. Their inputs will help us evaluate issues and determine offensive interests,” said an unidentified official as cited in the report. Offensive asks, which represent proactive demands to expand India’s market access in the US, are being considered as a part of India’s negotiation strategy.
The focus comes amid Trump’s threats of imposing reciprocal taxes on Indian exports, a move seen as retaliation for what he perceives as high tariffs on certain US goods. The commerce and industry ministry is reviewing the contours of the mini-trade deal negotiated during Trump’s earlier tenure while preparing to counter any adverse measures. “Negotiations, discussions, retaliation, disputes, or the mini-trade deal—nothing is off or on the cards,” the official said.
The US is India’s second-largest trading partner, with Indian goods exports of $53 billion and imports of $30 billion recorded between April and November FY25. US imports from India grew at a compound annual rate of 10.48 percent between 2001 and 2023, far outpacing the 4.76 percent growth in overall imports.
India’s approach, including the feasibility of a mini-trade deal and its response to Trump’s retaliatory measures, will be finalised as his administration makes key policy announcements.
