How India-US trade talks unravelled

U.S. President Donald Trump last Wednesday announced 25% tariffs on Indian imports from August 7 and threatened more penalties over New Delhi's purchases of Russian oil. Below is a timeline of how India, once seen as the frontrunner for a U.S. deal, ended up facing steep tariffs after Trump escalated tensions, and called it a "dead economy."

February
Modi visits Washington * Indian Prime Minister Narendra agrees to work toward a limited trade deal by fall 2025 with the United States and expand the bilateral trade deal to $500 billion by 2030. He also pledged to boost energy purchases from the U.S.


March
Bilateral talks gain momentum

* Trade Minister Piyush Goyal visits Washington; meets Commerce Secretary Howard Lutnick and U.S. Trade Representative Jamisen Greer. Later in March, U.S. officials visit Delhi for talks.

* India says negotiations are progressing well.

* USTR annual report flags India's high tariffs, non-tariff barriers, data laws, and patent issues. April Breakthrough signs emerge

* During Vice President J.D. Vance's visit, both sides finalise the terms of reference for bilateral talks.

* Indian officials say a deal could be signed before the July 9 deadline.

May
Further rounds of talks

* Goyal travels to Washington with lead negotiator Rajesh Agrawal for trade talks. India expects a favourable outcome is near.

June
Mixed signals

* U.S. Commerce Secretary Howard Lutnick on June 3 says the U.S. and India are making progress and a deal could be finalised soon.

* Trump says a "big" trade deal with India is coming soon.

* Indian officials tell Reuters that trade talks have hit a roadblock over disagreements on import duties largely over farm goods, dashing hopes of a deal ahead of July 9.

* At a rally in the eastern Indian state of Odisha on June 20, Modi says he declined Trump's invitation to Washington.

July
Hardening of stance

* Delegation returns to New Delhi without a breakthrough.

* Trade Minister Piyush Goyal says on July 4 that India will not do trade deals to meet deadlines and national interest will be "supreme."

* Indian trade delegation travels to Washington again in mid-July for the fifth round of talks, aiming to break the deadlock.

* Modi responds in Parliament about ceasefire with Pakistan: "No world leader asked us to stop the operation."

* No high-level outreach from Indian leadership.

* On July 31, Trump imposes 25% tariffs on Indian imports, warns of further penalties for countries buying Russian oil.