The United States and India are reportedly close to resolving their differences over a new trade agreement, though significant tensions remain over New Delhi’s continued purchase of Russian oil, according to Sergio Gor, President Donald Trump’s nominee for ambassador to India. Speaking Thursday at his Senate nomination hearing, Gor expressed cautious optimism while reaffirming that curbing Russian energy imports is a top priority for the administration.
“We are not that far apart right now on a deal. In fact, they’re negotiating the nitty-gritty of a deal,” Gor told senators. He added that Indian negotiators are expected to meet with U.S. Trade Representative Jamieson Greer next week to finalize outstanding details.
However, Gor acknowledged that India’s purchases of Russian crude remain a sticking point. “We expect more from India than we do sometimes from other nations,” he said. “Getting India to stop buying Russian oil is a top priority for the Trump administration.”
Earlier on Thursday, Commerce Secretary Howard Lutnick also emphasized the issue during an interview with CNBC, saying, “I think India, we’ll sort it out once they stop buying Russian oil.” This follows Trump’s imposition of 50% tariffs on Indian goods in August, half of which he attributed to India’s energy purchases from Russia—a move the administration says indirectly supports President Vladimir Putin’s war effort in Ukraine.
The trade talks mark a renewed effort to mend relations following weeks of heightened tensions between Washington and New Delhi. Trump has indicated that he will speak with Indian Prime Minister Narendra Modi in the coming weeks as both countries attempt to reset negotiations.
Gor, a close aide to Trump, was nominated last month to serve as ambassador to India and has also been named the president’s special envoy for South and Central Asian affairs. His nomination comes amid staffing gaps in key diplomatic posts, which Bloomberg previously reported have hindered India’s ability to engage effectively with the U.S. government.
As negotiations move forward, industry observers are watching closely to see how Washington balances its strategic objectives with India’s long-standing energy partnerships, while also attempting to secure a broader trade framework between the world’s two largest democracies.
