India Fast-Tracks Free Trade Deals to Offset U.S. Tariffs and Broaden Export Reach – Obnews

India is accelerating efforts to finalize multiple free trade agreements as it looks to counter the impact of higher United States import tariffs and expand access to global markets. According to The Associated Press, New Delhi is moving quickly to conclude negotiations with several partners amid rising global trade uncertainty and pressure on key export sectors.

Indian officials say talks are at an advanced stage with the European UnionNew Zealand, and Chile, while a new agreement with Oman is set to be signed this week. Prime Minister Narendra Modi is expected to travel to Muscat for the signing of the India Oman free trade agreement, which aims to boost bilateral commerce and support Indian exports of engineering goods, textiles, pharmaceuticals, and agricultural products.

Free trade agreements have become a central pillar of India’s economic strategy as it seeks deeper integration into global supply chains, stronger export growth, and sustained job creation. By reducing tariffs and providing more predictable trade rules, the agreements are designed to help Indian companies remain competitive while opening doors to newer markets. Officials say a wider network of trade deals will also help cushion the economy from external shocks linked to tariff disputes and geopolitical tensions.

The renewed push comes as Indian exporters adjust to 50 percent U.S. import tariffs that took effect in August. While India and the United States continue discussions on a bilateral trade agreement, higher duties have weighed on industries such as textiles, auto components, metals, and other labor intensive manufacturing sectors. Trade analyst Ajay Srivastava said India is using FTAs as a strategic tool to diversify export markets and soften the impact of unpredictable U.S. tariff policies.

India currently has 15 free trade agreements covering 26 countries, along with six preferential trade agreements involving another 26 nations, and is negotiating with more than 50 additional partners. Recent deals with the United Arab Emirates and Australia have already lifted bilateral trade, while a breakthrough agreement with the United Kingdom earlier this year cut tariffs on a range of goods moving both ways. Officials say these successes have reinforced the case for faster negotiations, even as India continues to balance demands for market access with the need to protect small farmers and domestic industries.

Despite strains in India U.S. relations linked to India’s continued purchases of discounted Russian oil, there have been signs of easing tensions in recent weeks. Modi has voiced support for U.S. efforts to end the Russia Ukraine war, and both sides have resumed high level engagement, including a recent visit by U.S. trade officials to New Delhi. According to The Associated Press, Indian officials remain cautiously optimistic that expanded trade partnerships will help stabilize exports and strengthen the country’s position in an increasingly fragmented global trading system.