Industry Odisha Bureau, Oct 21: The US target is bilateral trade with India above $500 billion within three years. Envoy Sergio Gor eyes chips, energy and defence, but an interim trade deal remains unsettled.
The US target is to more than double bilateral trade with India within three years. US Ambassador Sergio Gor set the goal at over $500 billion. Current trade has hit a record of over $240 billion, he said. He spoke at the Freedom 250 reception in Mumbai, ANI reported.
Gor said President Donald Trump sent him with a clear mandate to deliver results. Trump and Prime Minister Narendra Modi recently reaffirmed that commitment, he added. The figure is an ambition, not a binding agreement. Reaching it would require unusually rapid growth over a short period.
Gor named semiconductors, critical minerals, energy, defence and superintelligence as growth areas. Superintelligence refers to highly advanced artificial intelligence. Chips and critical minerals underpin modern manufacturing and supply-chain resilience. Energy and defence trade can deepen strategic as well as commercial ties. Gor said cooperation stretches from undersea data infrastructure to commercial space exploration. The report cited no new contracts or investment commitments.
Trade talks provide the backdrop. In February, India and the US announced a framework for an interim trade agreement. It aims to improve market access and cut trade barriers. The Commerce Ministry says it covers textiles, leather, engineering goods and pharmaceuticals. Several tariff concessions depend on the deal being concluded. Its final terms and implementation timeline are yet to be announced. The pact is expected to give exporters greater certainty.
Official data offer a narrower snapshot. India’s merchandise exports to the US were $87.31 billion in FY 2025-26. Imports from the US stood at $53.45 billion. That gives India a merchandise trade surplus with the US. These goods-only figures differ in scope from Gor’s broader bilateral trade number. They should not be added together or directly compared.
Gor highlighted Mumbai as a hub for American business. Over 500 major US firms operate there, he said. They include Google, Meta, IBM, Pfizer, Citi and JPMorgan Chase. He said American institutional investors form the largest foreign capital block in Indian equities. He called that “a massive vote of confidence” in India’s economy.
US Secretary of State Marco Rubio called the strategic alignment “extraordinary”. He acknowledged the two countries will not agree on every issue. On core national interests, however, he said their alignment was strong. Rubio cited India’s population of nearly 1.5 billion and America’s status as the largest economy. He also urged more frequent US diplomatic engagement with India.
The ambition signals political will at the top. Turning it into trade will depend on concluding the deal and easing barriers. Until then, $500 billion remains a goal, not a forecast.
