Tariff cuts on corn, soybean, wheat and ethanol remain off the table, with Indian officials citing risks from subsidised U.S. farm products. Domestic automakers, pharma firms and small industries have also lobbied for only a gradual opening, fearing disruption from U.S. imports.

The announcement came just two days before the August 1 deadline to impose reciprocal tariffs. However, in recent weeks, the US president has been repeating that both sides were close to striking a trade agreement.

Despite trade disagreements, Trump called Indian Prime Minister Narendra Modi “a friend.” He also repeated his earlier claim that he helped stop conflict between India and Pakistan through trade negotiations. “They ended the war with Pakistan at my request, and that was great,” he said, also mentioning past settlements involving Cambodia.