Indian and U.S. are holding high-level talks this week, aiming to finalise tariff cuts in sectors such as farm and automobiles as part of an interim deal, two government sources said, with an announcement likely later this month.

India and the U.S. are in final talks to cut tariffs on key sectors like agriculture and autos, aiming to announce an interim trade deal.

Rajesh Agrawal, the Indian Chief Negotiator, heads a meeting with U.S. officials from the Office of the United States Trade Representative (USTR).

As a US delegation arrives in New Delhi to negotiate a bilateral trade deal, India is observing the concessions Washington made to other nations, to make the best out of the deal negotiations.

China and the U.S. have agreed to more tariff talks amid a trade standoff and concerns over rare earths, President Donald Trump said Thursday after a call with China's leader. Trump and Chinese leader Xi Jinping spoke on Thursday at a time when stalled tariff negotiations between their two countries have roiled global trade.

The US trade deficit more than halved in April as President Donald Trump's global tariffs reversed an import surge that preceded the new duties.