Deal with U.S. ‘ready’ but comparative advantage aspect still being worked out, says Commerce Secretary

The framework deal, or the interim agreement on trade, between India and the U.S. is “ready” and will be signed at the “right time”, Commerce Secretary Rajesh Agrawal said on Monday (July 13, 2026), however adding that the key aspect of providing India a comparative advantage over its competitors was still being worked on. 

Regarding a timeline, he indicated that the deal could be signed even before the U.S. investigations on its trade partners are completed.

“The framework deal is ready, and whenever it is the right time, it will be signed,” Mr. Agrawal said at a press briefing. “The Commerce Minister has also said in public that we are ready to sign, we are just waiting. Because deals are about comparative advantage.” 

“When you do a deal, you get preferential market access in India and India gets preferential market access in that market,” he elaborated. “These preferences are vis-a-vis some competitors. That is something that is getting structured. Whenever it is ready, the deal will get signed.”

Mr. Goyal himself also took to social media to address concerns about the trade deal. 

“I had fantastic meetings with USTR Jamieson Greer, when he visited Delhi in June. Both sides reaffirmed their commitment to an agreement that is balanced, commercially meaningful, and delivers tangible benefits for businesses, farmers, workers, and consumers in both countries,” Mr. Goyal said. “Our teams remain fully engaged in achieving this objective.”

The U.S. is currently undertaking two separate investigations into its trade partners, including India, regarding their actions on forced labour and on whether these economies are using surplus capacity to export to the U.S. in a manner that hurts the American economy. 

The proceedings regarding forced labour are nearly complete, with the final hearing taking place last week and the final report expected some time this month. The draft report on excess capacity case is still awaited, with Mr. Agrawal saying the final process would take a minimum of 4-6 weeks after that.

Depending on the findings of these investigations, the U.S. can levy tariffs on its trade partners. In its draft report on the forced labour case, it had proposed a 12.5% tariff on 54 countries, including India.   

Mr. Agrawal indicated that this timeline did not necessarily impact the deadline by which the trade deal would be signed between the two countries. 

“On the trade deal, whenever we sign it, all aspects of the trade relations will get addressed,” he said. “My understanding is that whenever we get into a formal trade deal, it will address pathways for some of these other conversations as well. A pathway can be done before or after the conclusion of those proceedings.”