Officials move closer to a trade agreement
U.S. Secretary of State Marco Rubio met Indian Foreign Minister Subrahmanyam Jaishankar in Mumbai as both countries worked toward finalizing a trade deal. Their talks also focused on deepening energy cooperation.
Rubio said only a small number of issues remained before the agreement could be completed. Jaishankar added that the discussions covered trade, energy, technology, defense and regional developments.
Additionally, both officials met United Arab Emirates Foreign Minister Sheikh Abdullah bin Zayed Al Nahyan. The trilateral talks addressed regional energy security and shared economic priorities.
Tariffs and Russian oil slowed negotiations
Washington imposed tariffs of up to 50% on most Indian goods in August 2025 after earlier negotiations collapsed. A framework reached in February reduced the rate to 18%, but progress later stalled.
Earlier this month, Indian Finance Minister Nirmala Sitharaman described the negotiations as having plateaued. However, Commerce and Industry Minister Piyush Goyal recently said the first portion of an agreement was in its final stages.
India wants its final tariff rate to resemble those applied to competing manufacturing countries such as Vietnam. Its purchases of discounted Russian crude since February 2022 have also strained relations with Washington.
Energy and strategic ties remain central
Despite those tensions, India has promised to expand energy imports from the United States while diversifying suppliers. The government says this approach can preserve market stability and keep prices affordable.
Meanwhile, defense and technology cooperation continues to grow, with Washington viewing India as a counterweight to China in the Indo-Pacific. Rubio acknowledged that India’s substantial Russian oil purchases make an immediate shift difficult.
On Wednesday, Rubio is scheduled to visit the Jamnagar facility operated by Reliance Industries, the world’s largest refining complex. President Donald Trump said in March that the company planned a $300 billion refinery project in Brownsville, Texas.
References
The Associated Press. (2026, October 20). Rubio and India’s foreign minister hold talks in Mumbai as both sides aim to finalize a trade deal. AP News. https://apnews.com/article/india-us-rubio-reliance-61e40567f8f8453f1117328594d0445c