UPSC Prelims Practice Questions — ‘Progress’ made in talks over U.S. trade agreement: Centre

Q1. With reference to the India-U.S. Bilateral Trade Agreement (BTA) negotiations as reported in 2026, consider the following as areas under negotiation: 1. Market Access 2. Digital Trade 3. Investment Promotion 4. Adoption of a Common External Tariff Which of the above is/are NOT correctly identified as a negotiating area under the BTA?

  1. Market Access
  2. Digital Trade
  3. Investment Promotion
  4. Adoption of a Common External Tariff
  • A. 1 and 2
  • B. 2 and 3
  • C. 4 only
  • D. 3 and 4

Q2. With reference to the two tracks of the India-U.S. trade negotiations, consider the following statements: 1. The comprehensive BTA was formally launched in February 2025, whereas the framework for the near-term interim trade agreement was agreed through a Joint Statement in February 2026. 2. The interim trade deal is conceived as a near-term milestone preceding the comprehensive BTA. 3. The original target for concluding the comprehensive BTA was set for July 2026. Which of the statements given above is/are correct?

  1. The comprehensive BTA was formally launched in February 2025, whereas the framework for the near-term interim trade agreement was agreed through a Joint Statement in February 2026.
  2. The interim trade deal is conceived as a near-term milestone preceding the comprehensive BTA.
  3. The original target for concluding the comprehensive BTA was set for July 2026.
  • A. 1 only
  • B. 1 and 2 only
  • C. 2 and 3 only
  • D. 1, 2 and 3

Q3. In February 2026 the United States imposed a temporary 10% baseline tariff on imports from all countries under Section 122 of the Trade Act. For how many days was this temporary tariff imposed, fixing the deadline for the India-U.S. interim deal?

  • A. 90 days
  • B. 120 days
  • C. 150 days
  • D. 180 days

Q4. On the Indian side, the India-U.S. Bilateral Trade Agreement negotiations are led and operationalised by which one of the following?

  • A. Department of Commerce, Ministry of Commerce and Industry
  • B. Department of Economic Affairs, Ministry of Finance
  • C. Ministry of External Affairs
  • D. Department of Revenue, Ministry of Finance

Q5. The interim India-U.S. trade deal is described as a stepping stone toward the flagship 'Mission 500' goal. What is the primary target of 'Mission 500'?

  • A. Reaching USD 500 billion in total bilateral India-U.S. trade by 2030
  • B. Securing access to the USD 30-trillion U.S. market by 2030
  • C. Achieving USD 500 billion in Indian merchandise exports by 2030
  • D. Attracting USD 500 billion in U.S. investment into India by 2030