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Jaishankar, Rubio talk India-US trade

India 3 min read
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Indian external affairs minister S Jaishankar and US secretary of state Marco Rubio. (X/DrSJaishankar)

The two sides have agreed to finalise the first tranche of the agreement by the fall of 2025.

Agencies January 14, 2026

External affairs minister S Jaishankar and his US counterpart Marco Rubio on Tuesday discussed cooperation in trade, defence and security against the backdrop of months of strains in bilateral relations linked largely to differences on trade-related matters.

The phone conversation between the two foreign ministers came a day after US ambassador-designate Sergio Gor announced that the sides remain actively engaged to conclude a trade deal and that the “next call on trade” would occur on Tuesday.

“Just concluded a good conversation with @SecRubio. Discussed trade, critical minerals, nuclear cooperation, defence and energy,” Jaishankar said in a social media post.

The two sides agreed to “remain in touch on these and other issues”, he said, without giving details.

US state department spokesperson Tommy Pigott said Rubio and Jaishankar discussed “ongoing bilateral trade agreement negotiations and their shared interest in strengthening economic cooperation”.

Gor said on social media that Rubio had a “positive call” with Jaishankar, and that the two leaders “discussed next steps regarding our bilateral trade negotiations, critical minerals and a possible meeting next month”.

According to Pigott, Rubio also congratulated India on enacting the Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) law and expressed interest in “capitalising on this important development to enhance US-India civil nuclear cooperation, expand opportunities for American companies, advance shared energy security goals, and secure critical mineral supply chains”.

Rubio and Jaishankar also discussed regional developments and reaffirmed the commitment of both countries to a free and open Indo-Pacific, Pigott said.

There was no official readout from the Indian side on the conversation, which marked a rare engagement in several months that was characterised by both countries as positive.

India-US relations have been buffeted by strains not witnessed in about two decades after President Donald Trump hit Indian goods in mid-2025 with 50% tariffs, including a 25% penalty on Russian energy purchases.

The two sides have also been unable to conclude a bilateral trade agreement despite multiple rounds of negotiations, and US commerce secretary Howard Lutnick said last week a pact couldn’t be sealed in 2025 because Prime Minister Narendra Modi didn’t call Trump as the Indian side was not comfortable with the deal — a claim swiftly rejected by the Indian government.

In his arrival speech on Monday, Gor said the two sides, as “real friends” can disagree but will “always resolve their differences in the end” as he outlined plans to pursue an ambitious agenda. He also acknowledged that it was “not an easy task to get [the trade deal] across the finish line, but we are determined to get there”.

Gor also said the US will invite India next month to join Pax Silica, the flagship American initiative to build a secure and resilient global supply chain for semiconductors and AI technology.

Besides trade and tariff issues, India-US ties have been hit by other developments, including Trump’s persistent claims of brokering a ceasefire to end an intense four-day conflict between India and Pakistan in May 2025. India has rejected these claims amid growing concerns in New Delhi over Trump’s burgeoning relationship with Pakistan Army chief Field Marshal Asim Munir.

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