US signals imminent India trade deal as part of broader engagement

US Secretary of State Marco Rubio indicated on Monday that the United States is on the verge of concluding a trade deal with India, signalling the importance Washington places on the bilateral economic relationship.

"We're trying to finalise the trade deal with India right now. We're very close to doing that. So that's one of the things we take into consideration when the President makes a decision about national security waivers and things of that nature," Rubio said while in Samarkand, Uzbekistan.

Rubio's comments suggest a link between the trade negotiations and the US administration's approach to granting tariff waivers for countries purchasing Russian energy—an issue of particular relevance to India, which continues to source oil from Russia despite international sanctions. The remarks indicate that the US is weighing broader bilateral interests when considering such exemptions.

The Secretary of State is expected to travel to India shortly to meet External Affairs Minister S Jaishankar in Mumbai. The talks will cover multiple dimensions of the India-US relationship, including energy security, trade, defence cooperation, and collaboration on critical and emerging technologies.

The discussion around Russian oil purchases has been a focal point in bilateral talks since the US introduced the Sanctioning Russia and Iran Act in September. Rubio's acknowledgement of India's economic constraints regarding energy supplies suggests a pragmatic approach to the divergences between the two countries' Russia policies.