Trade tensions between the United States of America and India seem to have simmered down after months of escalating tariff warfare. During a White House ceremony on Monday, US President Donald Trump signalled that a bilateral trade agreement is within reach, hinting that steep levies on Indian goods would eventually be reduced.
The remarks came as Sergio Gor was sworn in as the new US Ambassador to India, with Vice President JD Vance administering the oath in the Oval Office. Treasury Secretary Scott Bessent was present at the event, with the political buzz surrounding the event indicating an improvement in trade negotiations.
Trump told reporters that Washington and New Delhi are "pretty close" to finalising "a fair trade deal"—a far cry from his tone earlier this year when tensions peaked.
"We're making a deal with India, a much different deal than we had in the past," Trump said. "They're very good negotiators, so Sergio, you will have to take a look at that... We're getting close. I think we're pretty close to doing a deal that's good for everybody," he added, directing his gaze to Treasury Secretary Scott Bessent.
India and the US have been seething from months of contentious trade relations. Between July and August this year, Trump slapped sweeping tariffs on Indian goods, including a 50 per cent tariff on selected imports, which included an additional 25 per cent duty on purchases of Russian oil.
India firmly rejected these measures, describing them as "unfair, unjustified, and unreasonable," while asserting that its energy policy is guided by national interest.
On the possibility of tariff relief, Trump acknowledged that current duties on Indian goods were high "because of the Russian oil", but claimed that India "has stopped doing the Russian oil very substantially".
He then committed: "We're going to be bringing the tariffs down... At some point, we're going to be bringing them down".
Five rounds of formal negotiations have been completed for the first phase of the bilateral trade agreement (BTA).
The Centre, last month, hinted that both sides are "very near" to concluding discussions, with teams focused on finalising specific language.
The negotiations aim to reach a comprehensive trade agreement targeting $500 billion in bilateral commerce by 2030.
Trump also praised India, calling it "one of the world's oldest civilisations" and highlighting its "fastest growing middle class." The appointment of Ambassador Gor came at a critical time, he said, as the US looked to advance a "strategic partnership with the Republic of India". Trump also stressed the need for increased US energy exports, investment in key sectors, and better security cooperation.
Gor, who served as Trump's Director of Presidential Personnel before his appointment, is one of the president's most trusted aides and is expected to speed up the resolution of outstanding trade disputes while strengthening bilateral ties between the two democracies.
Who is Sergio Gor?
Sergio Gor, born Sergey Gorokhovsky in Tashkent, Uzbekistan (then part of the Soviet Union) on November 30, 1986, is a conservative political operative and businessman. At 38, he became one of the youngest US ambassadors to India in history. Gor's family immigrated to Malta in 1994 before settling in Los Angeles in 1999, where he completed high school. He graduated from George Washington University with a degree in Political Science and International Affairs, where he founded the campus chapter of Young America's Foundation and was active in College Republicans.
His political career included roles as spokesman and communications director for several Republican lawmakers, including Representatives Steve King, Michele Bachmann, and Randy Forbes, before joining Senator Rand Paul's office as deputy chief of staff and communications director from 2013 to 2020.
In 2020, Gor became chief of staff for the Trump Victory Finance Committee and later co-founded Winning Team Publishing with Donald Trump Jr., the conservative publishing house behind President Trump's bestselling coffee-table books Our Journey Together (2021), Letters to Trump (2023), and Save America (2024).
