India is racing to finalize an interim trade deal with the United States ahead of July, aiming to soften the blow of President Donald Trump’s impending reciprocal tariffs, according to officials cited in a Bloomberg report.

The proposed agreement is being structured in three tranches, with the first phase likely to include improved market access for U.S. industrial goods, selected agricultural products, and the easing of some non-tariff barriers like quality control standards, the report stated.

Commerce Minister Piyush Goyal is in Washington for a four-day visit, where he is expected to meet with U.S. Trade Representative Jamieson Greer and Commerce Secretary Howard Lutnick to move negotiations forward, the report said. 

The Indian ministries of Commerce and External Affairs have not commented, nor have U.S. officials.

According to the officials quoted in the report, a second phase of the deal could be finalized between September and November, potentially aligning with Trump’s expected visit to India for the Quad leaders’ summit. That stage may cover the 19 key areas agreed upon in April’s terms of reference. A comprehensive third-phase agreement, requiring U.S. congressional approval, would likely follow in 2026.

Trade discussions were first launched after Prime Minister Narendra Modi’s February visit to the White House. Both leaders committed to securing early-stage wins before the fall. However, signs of strain have emerged.

Bloomberg noted that India has toughened its negotiating stance, even threatening retaliatory tariffs. Trump, meanwhile, has publicly claimed that India offered to eliminate tariffs on U.S. goods—statements not corroborated by Indian officials.

Tensions escalated further after Trump suggested his trade leverage was instrumental in negotiating a ceasefire between India and Pakistan following a four-day military standoff—an assertion New Delhi firmly denies.