New Delhi, June 25 -- India's goods trade surplus with the United States may shrink following the implementation of a proposed Bilateral Trade Agreement (BTA), according to a research report by Crisil.

The report outlines the potential impact of the upcoming deal, which is currently under negotiation and expected to see its first phase concluded by September 2025.

During the financial year 2024-25, India recorded a goods trade surplus of USD 41.18 billion with the US, as per Indian government data.

Despite the US being India's largest export destination, the trade pact is expected to pave the way for higher imports from the United States, particularly in sectors such as energy, certain agricultural products, and defence equipment.

The...