Rubio and Jaishankar Convene in Mumbai to Finalize Stalled U.S.-India Trade Pact

U.S. Secretary of State Marco Rubio met with Indian External Affairs Minister Subrahmanyam Jaishankar in Mumbai on Tuesday, aiming to deepen energy cooperation and bring long-stalled trade negotiations to a close.

The discussions come as both nations attempt to revive talks that have been deadlocked for months over American tariffs and India’s continued procurement of Russian crude oil. “We’re very, very close,” Rubio told reporters following the meeting. “I would say we’re about as close as you can be without having executed the agreement. I think there’s a small number of items left to wrap up, so I think that will happen shortly.”

Jaishankar said the talks covered a broad agenda, including strengthening bilateral ties across trade, energy, technology, and defense, as well as regional developments. The two ministers also held a trilateral meeting with United Arab Emirates Foreign Minister Sheikh Abdullah bin Zayed Al Nahyan. Rubio described the three-way discussion as focused on regional energy security and advancing shared economic priorities.

Trade tensions escalated in August 2025 when Washington imposed tariffs of up to 50% on most Indian goods after negotiations collapsed. A framework agreed upon in February reduced that rate to 18%, yet progress has since stalled. Earlier this month, Finance Minister Nirmala Sitharaman characterized the dialogue as having “plateaued,” though Commerce and Industry Minister Piyush Goyal countered last week that the first tranche of a deal was in its final stages. New Delhi is reportedly pushing for a final tariff structure comparable to that of competing manufacturing hubs such as Vietnam.

India’s purchases of discounted Russian oil since the onset of the Ukraine war in February 2022 have periodically strained relations with Washington. The Indian government maintains it will expand energy imports from the U.S. while diversifying suppliers to ensure market stability and affordable prices. Despite these frictions, defense and technology cooperation continues to deepen, with the U.S. viewing India as a critical counterweight to China in the Indo-Pacific.

Rubio’s arrival in India followed a stop in Uzbekistan to promote trade and engagement with Central Asia. Before departing the U.S. on Saturday, he acknowledged India’s efforts to diversify its energy portfolio but noted the difficulty of an immediate pivot away from Russian supplies. “They’re also an important ally and partner of the United States,” he added.

On Wednesday, Rubio is scheduled to tour the Jamnagar refinery in Gujarat—the world’s largest refining complex, operated by Reliance Industries—and meet with business leaders. In March, former President Donald Trump announced that Reliance plans to invest $300 billion to establish an oil refinery in Brownsville, Texas. Rubio previously visited India in May.

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