India-US trade talks set for next round, but Section 301 probe remains hurdle

New Delhi: India expects a trade delegation from the US to arrive soon for the next round of talks, expected to cover all pending issues, including the Section 301 probe on New Delhi, said a government official on Monday.

The official however emphasised that the proposed trade deal with the US isn't expected to move forward till the USTR Section 301 investigation is underway. "The US team is expected to visit India next for trade talks," said the official. "No dates have been finalised yet."

In March, the US launched an investigation under Section 301 of the US Trade Act of 1974, alleging that India created substantial excess capacity in sectors such as petrochemicals, steel, and solar modules. It also identified textiles, health, construction goods, and automotive as areas where India maintains a global trade surplus. New Delhi has denied these claims.


Section 301 empowers the US government to probe and act against foreign trade practices deemed unfair or harmful to US commerce.

India's exports to the US grew 0.92% to $87.3 billion in FY26, while imports increased 16% to $52.9 billion. The trade surplus narrowed to $34.4 billion last fiscal year from $40.9 billion in FY25.

Indian trade negotiators had travelled to the US in April for in-person talks aimed at finalising details of the interim pact and advancing negotiations under the bilateral trade agreement.