India–US Interim Deal Gives New Delhi Six Months to Decide on US Standards

India will have six months from the moment an interim trade deal with the United States takes effect to decide whether it will accept American or internationally recognised standards — including testing requirements — for goods entering the country from the US across a defined set of sectors.

The commitment appears in the 2026 Trade Policy Agenda and Annual Report released by the US Trade Representative (USTR) and signals one of the more consequential concessions India has made to advance the stalled negotiations.

"Under the Interim Agreement, India will address long-standing barriers to trade in U.S. medical devices; eliminate restrictive import licensing procedures that delay market access for, or impose quantitative restrictions on, U.S. Information and Communication Technology goods; and determine, with a view towards a positive outcome, within six months of entry into force of the Agreement, whether U.S.- developed or international standards, including testing requirements, are acceptable for U.S. exports entering the Indian market in identified sectors," the report noted.

It reiterated that India will also address long-standing NTBs to the trade in US food and agricultural products.

The move is expected to smooth the path for American exports into the Indian market, which Washington has long viewed as unnecessarily difficult to access.

Washington's underlying frustrations are not new. The USTR has repeatedly characterised India as carrying the highest tariff burden of any major economy, and has argued that its use of non-tariff barriers to support domestic industry has historically made life difficult for American exporters.

India-US Deal

On February 13 last year, Prime Minister Narendra Modi and US President Donald Trump announced that the India-US will negotiate a Bilateral Trade Agreement (BTA) to deepen the economic relationship and rebalance the trade relationship.

In March 2025, the US and India finalised the scope of the BTA negotiations, which focus on reducing tariffs, eliminating NTBs, and securing rules-based commitments in several areas to ensure long-term benefits.

After almost a year in February, both countries issued a joint statement, setting out the broad shape of an agreement and both sides aiming to sign off on the interim deal by the end of March.

Those plans have since hit an unexpected snag. On 20th February, the US Supreme Court struck down the country-specific tariff measures, leaving the broader negotiating framework in a state of uncertainty. India's side is now taking stock of what the ruling means in practice, and further rounds of talks are expected to be rescheduled once both teams have had the opportunity to assess the implications properly.

"Through BTA negotiations, USTR is working with India to open the Indian market for US products and reduce its 2025 trade deficit of $58.2bn," the report highlighted.