Speaking to CNBC-TV18, Malik said a “large amount of conversation, discussion and negotiation” has already gone into the proposed agreement, and negotiators on both sides believe there is sufficient convergence to move ahead. “Much has been agreed upon. Both sides have placed their cards on the table,” he said, adding that officials at the working level are “reasonably satisfied” with the contours of the deal.
However, the final call now rests with the US President, both on the trade agreement and on the continuation of Russia-specific sanction tariffs that currently apply to India. Malik said the lack of clarity on President Trump’s thinking has become the principal obstacle to closure.
“There is confusion over what President Trump plans to do with the sanctioned tariffs, specifically the Russia-related ones, which frankly need to be lifted,” Malik said, arguing that India has been unfairly singled out. “Nobody quite understands why they are there.”
India currently faces elevated tariffs from the US, even as talks have dragged on for months. Malik warned that the delay is beginning to have political and strategic consequences in New Delhi. “In India, the mood is beginning to get a little sour. We’ve waited long enough,” he said.
He cautioned that if there is no forward movement soon, India may start recalibrating its economic engagement, even if it comes at a cost. “If something doesn’t happen quickly, I think India will just start diversifying and take the pain,” Malik said, signalling the possibility of India looking more aggressively at alternative trade partners and arrangements.
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The comments come after Indian Ambassador to the US Vinay Kwatra met US Ambassador-designate to India Sergio Gor at President Trump’s Mar-a-Lago residence in Florida, a meeting seen as significant given Gor’s expected arrival in New Delhi in mid-January. Malik described the interaction as one of the last opportunities for senior-level conversations before Gor takes charge in India.
“Trade deals are never done till they’re done, and they can always be negotiated and improved,” Malik said. “But there is no earthly reason for President Trump not to move positively on both the trade deal and the Russia-specific tariffs.”
With most technical issues resolved, the spotlight is now firmly on Washington’s political leadership. For India, the prolonged wait risks turning a near-complete trade agreement into a test of patience—and a trigger for strategic diversification if uncertainty continues.
Watch accompanying video for entire conversation.