In first detailed response to the US policy on tariff, Jaishankar said India is perhaps the only country to reach an understanding with Washington to seal a trade deal after Trump assumed the presidency
The impact of US President Donald Trump’s reciprocal tariffs is still unclear, but New Delhi’s strategy is to secure a bilateral trade agreement with Washington by the fall of this year, External Affairs Minister S. Jaishankar said on Wednesday.
Jaishankar who spoke with his counterpart Marco Rubio on Monday on the early conclusion of the Bilateral Trade Agreement stressed that India is likely the only country to have reached an understanding with Washington to negotiate a trade pact after Trump assumed the presidency for a second term.
Jaishankar’s comments came just hours after Trump’s sweeping reciprocal tariffs, kicked in causing significant trade disruptions and raising concerns about a global economic downturn.
India has taken a cautious approach, engaging with the Trump administration on a bilateral trade agreement (BTA).
“I don’t think it’s possible to speak about what would be the impact, because we don’t know. What is our strategy? I think that’s pretty clear,” Jaishankar said. “We decided that we will engage the Trump administration early on this set of issues and we were very open with them, very constructive with them as they were with us, and what we agreed to do was to try to negotiate a bilateral trade agreement by fall of this year,” he said.
Following talks between Prime Minister Narendra Modi and Trump in Washington DC in February, the two sides announced to negotiate the first tranche of the BTA by the fall of 2025 that would cover tariffs, non-tariff barriers and market access.
“I think we are the only country after President Trump has assumed presidency the second time, which has actually reached such an understanding in principle,” Jaishankar said.
He said every country in the world today is fashioning its own strategy to deal with the United States and that India’s goal is to strike a trade pact with the Trump administration.
“In our case, our strategy has a goal. And the goal is to see whether it’s possible to actually deal with this situation by concluding a bilateral trade agreement. And I should add that in an interesting way, this has long been our objective,” he said.
Jaishankar also said that the “present situation” may have created the right conditions for serious trade negotiations. Reflecting on past efforts, he pointed out that a trade deal was pursued during Trump’s first term but did not materialise, and even under President Joe Biden’s administration, trade discussions led to the launch of the Indo-Pacific Economic Framework for Prosperity (IPEF) in May 2022.
“The Biden administration was very averse to a bilateral agreement, but for India, working out something bilaterally with the US is not negative. It’s actually something we’ve long aimed for,” he said.
‘Concerned about rhetoric from Bangladesh’
Meanwhile, Jaishankar expressed concerns about radicalizing tendencies, attacks on minorities, and inflammatory rhetoric in Bangladesh, stating that India has been open about sharing these concerns.
Speaking at the CNN News 18 Rising Bharat Summit 2025, he said, “No country wishes Bangladesh well more than us. That’s almost in our DNA,” highlighting the unique historical and cultural ties between the two nations Jaishankar also commented on the meeting between Bangladesh’s Chief Adviser Muhammad Yunus and Prime Minister Narendra Modi, emphasizing India’s long-standing friendship with Bangladesh.
“We have concerns about the rhetoric which is coming out of the people in Bangladesh, we have concerns about the radicalising tendencies we see, we have concerns about the attacks on minorities. I think we were very open about sharing those concerns. As a country, no country wishes Bangladesh well more than us. That’s almost in our DNA,” he said.
He stressed the need for Bangladesh to hold elections soon, citing the importance of democratic traditions and the renewal of mandates through electoral processes.
“As a well-wisher, as a friend, I think we hope that they go the right way and do the right things, and as a country with a democratic tradition, democracies require elections; that’s how mandates are given and mandates are renewed. So, we hope they go down that path,” he said.
Jaishankar emphasised the unique people-to-people connection between India and Bangladesh, rooted in historical ties and cultural exchange.
“The main message from our side, which came out at the first meeting, is that our relationship with Bangladesh, for historical reasons, is a unique relationship. It is a fundamental people-to-people connection, much more so than any other relationship I can think of. That’s something we need to recognise. So, it is not necessarily one of the government of the day,” he said.
Earlier on April 4, Prime Minister Narendra Modi met Bangladesh Chief Adviser Muhammad Yunus on the sidelines of the BIMSTEC Summit in Bangkok on Friday and reiterated India’s support for a democratic, stable, peaceful, progressive and inclusive Bangladesh
