New Delhi: India and the United States have decided to defer a scheduled meeting between their chief trade negotiators that was expected to begin on February 23 in Washington, where discussions were to focus on finalising an interim trade agreement.
According to Commerce Ministry sources, both sides agreed to postpone the talks in light of recent developments in US trade policy. The meeting will now be held at a mutually convenient date after both governments complete their assessment of the evolving situation.
The decision comes after the US Supreme Court struck down import tariffs imposed by former President Donald Trump under the International Emergency Economic Powers Act (IEEPA), 1977. The ruling prompted fresh adjustments to the tariff structure announced by Trump.
Following the court’s verdict, Trump initially introduced a 10 per cent tariff applicable to all countries. He later revised the rate upward to 15 per cent.
Prior to these changes, India had negotiated a tariff rate of 18 per cent and was moving toward the conclusion of an interim trade arrangement with the United States. The rescheduling of the meeting is intended to allow both sides to evaluate the implications of the revised tariff measures and the court’s judgment.
Trade relations between the two countries have witnessed several tariff adjustments over the past year. In August 2025, the United States imposed a 25 per cent reciprocal tariff on Indian goods. Subsequently, an additional 25 per cent levy was applied in response to India’s purchase of Russian oil, bringing the overall tariff burden to 50 per cent at that time.
The latest US Supreme Court ruling has introduced further uncertainty regarding the legal framework governing those earlier tariffs. Officials indicated that clarity on the scope and implementation of revised measures is necessary before moving ahead with negotiations on the interim pact.
Commerce Ministry sources stated that both governments require time to carefully study the legal and economic impact of the developments before reconvening discussions. The interim trade pact under negotiation is expected to address tariff adjustments and facilitate smoother bilateral trade flows.
While no new date has been announced for the meeting, officials emphasised that dialogue between the two sides remains ongoing. The postponement, they said, reflects a need for comprehensive evaluation rather than a halt in engagement.
The evolving tariff scenario follows a period of intensified trade negotiations aimed at resolving outstanding issues and stabilising trade ties. The interim agreement was seen as a step toward reducing tariff barriers and strengthening economic cooperation between the two nations.
For now, both India and the United States are reviewing the implications of the Supreme Court decision and the subsequent tariff announcements. Further consultations are expected once both sides complete their internal assessments and agree on a revised timeline for talks.
