As US President Donald Trump and his team continue to target India over purchasing Russian energy, Union Commerce and Trade Minister Piyush Goyal on Tuesday said New Delhi is negotiating with Washington to formulate an interim bilateral trade deal.

Speaking at an industry chamber event here, Goyal said “We are in dialogue with the US for a bilateral trade agreement (BTA),” after the Trump administration slapped 50 per cent tariffs on India, including 25 per cent punitive tariffs owing to Russian oil purchase.

India is hopeful of resuming negotiations with the US on the proposed BTA and resolving the stalled path. The sixth round of talks for the BTA was scheduled for August 25 in New Delhi, but the US delegation cancelled the visit.

Last month, Goyal had said the government’s approach in trade negotiations for free trade agreements with other countries will be guided by national interest and the priorities of Indian industry.

"I've always held a very clear vision. When we do trade deals, I have to protect national interests. We usually now work with different countries with the pre-understanding, before even getting into negotiations: you respect my sensitivities, I respect your sensitivities. There are areas of concern in every country in the world," Commerce Minister said at an event in the national capital.

The minister also said that India’s relations with the US are “very consequential” and India has resilience, strength, and is full of possibilities as the world's fastest-growing economy.

Meanwhile, US Treasury Secretary Scott Bessent has said “two great countries will get this solved”, as the Trump administration hopes to resolve trade friction with India soon.

Speaking to Fox Business, Bessent said: “I think at the end of the day, India is the most populous democracy in the world. Their values are much closer to ours and to China's than to Russia's”.

"I think at the end of the day, two great countries will get this solved,” he was quoted as saying.