US Trade Representative Jamieson Greer said “more negotiations” will be needed with India on a trade deal just days before an Aug. 1 deadline for higher tariffs.

India's equity benchmarks were set for a muted open on Tuesday amid caution over a delay in interim trade deal with the United States, sustained foreign outflows and weak earnings.

India is cautiously approaching trade negotiations with the US, observing complications in recent American deals with Japan, Indonesia, and Vietnam. Discrepancies exist between US and Japanese officials regarding investment profit allocation.

The trade deal between India and the US remains unfinalized despite ongoing discussions. Key issues include US demands for greater access to Indian agricultural markets and tariffs on imports. Delays could negatively impact the Indian economy and stock market.

Markets open cautiously as Sensex dips, Nifty faces resistance; investors wary amid trade talks, FII outflows, and sectoral pressure.

As the window to seal a trade deal with the U.S. closes, analysts say Washington has its reasons to finalize an agreement with India sooner rather than later.

Indian Prime Minister Narendra Modi with his U.K. counterpart Keir Starmer during Modi’s two-day visit to the U.K. on July 23-24, 2025, when the two sides signed a key trade pact.

The prime ministers of Britain and India have sealed a major trade agreement that will reduce tariffs on products like Scotch whisky and Indian spices.

The agreement between the world’s fifth and sixth largest economies will boost the bilateral trade by a further 25.5 billion pounds ($34.4 billion) by 2024.

Washington needs additional talks to gauge how ambitious India’s government is willing to be to secure a trade agreement, Jamieson Greer said

The India-UK free trade agreement, which was signed on July 24, will lead to a loss of customs revenue for both the countries, as tariffs are reduced or eliminated on a wide range of goods, GTRI added