India and the United States have concluded most discussions on their proposed bilateral trade agreement and are now fine-tuning the pact, Commerce and Industry Minister Piyush Goyal said at the India-Netherlands Business Forum in The Hague.

Goyal’s statement follows recent remarks by US Secretary of State Marco Rubio, who indicated that only a few issues remain to be resolved before the agreement can be finalised.

Under the framework announced in February, the US had agreed to remove the additional 25% penalty imposed on Indian goods over India’s purchases of Russian oil and reduce the reciprocal tariff rate to 18%. However, the US Supreme Court subsequently invalidated the reciprocal tariffs imposed under the International Emergency Economic Powers Act (IEEPA).

Washington later introduced an additional 10% duty on Indian goods under a Section 301 investigation into alleged forced labour concerns. The measure also applies to 16 other countries and is lower than the 12.5% tariff proposed by the US in June under a broader Section 301 investigation.

The ongoing negotiations are expected to address outstanding issues as both countries work towards finalising the trade agreement, which could influence bilateral trade relations and market access for exporters.