US and India are expected to discuss trade during a meeting between President Donald Trump and Prime Minister Narendra Modi at next week’s G7 summit in France, although a trade agreement is not expected to be concluded at the gathering, a senior US administration official said on Saturday.

The official said US Trade Representative Jamieson Greer will travel to India in the week following the summit for further discussions on a possible trade deal, reported Reuters.

Trade will be one of the issues discussed when Trump and Modi meet during the summit, but no agreement is expected to be announced there.

Modi, Trump to meet on June 17 as India-US tensions loom over G7 Summit

“We know that Prime Minister Modi is quite ambitious about the role he sees for India, the importance of the U.S.-India relationship,” the official told reporters. “We think a potential trade deal is part of that.”

Trump would insist on reaching “a very good deal,” the official said, adding: “We ⁠think a very good deal is possible. I don’t think we’ll close that deal at the G7.”

The Group of Seven summit, to be held June 15 to 17 in the French town of Evian-les-Bains, will bring together leaders from the world’s major economies, including Trump, alongside high-level delegations from other countries such as India.

Relations between New Delhi and Washington have faced pressure in recent months due to US tariffs on Indian goods and Trump’s repeated assertions — which India denies — that he intervened to end India’s brief conflict last year with Pakistan.

However, the atmosphere has improved in recent weeks. India’s trade minister, Piyush Goyal, said last week that the first tranche of a bilateral trade agreement could be concluded by mid-July. India is seeking preferential tariff treatment as part of negotiations on an interim trade deal.

The senior US official said Trump and Modi would have an opportunity to review the progress of trade discussions, although additional technical negotiations would likely be required before a deal could be finalised.

Shipping strikes likely to feature in discussions

Indian officials said Trump and Modi were also expected to discuss broader geopolitical issues, including energy security and possible Indian purchases of Venezuelan oil.

India on Thursday called for an end to US strikes on shipping after three attacks on Indian-crewed tankers this week, including one incident that killed three Indian sailors.

The deaths were the first reported since a US blockade on Iran-linked shipping began on April 13, during which US forces have disabled eight ships and turned back more than 100 others.

US Secretary of State Marco Rubio spoke with India’s external affairs minister, Subrahmanyam Jaishankar, on Friday about recent developments in the Strait of Hormuz, according to the State Department on Saturday.

“The Secretary stressed that all commercial vessels should immediately comply with orders from U.S. forces as ⁠they seek to uphold peace and security in the Strait,” spokesman Tommy Pigott said. “He underscored that violations of the U.S. blockade and the illicit transport of Iranian oil will not be tolerated.”

Canada also seeks further trade discussions

Separately, Canada has approached US officials regarding further trade discussions, the senior US official said.

The official said Washington welcomed Ottawa’s recent decision to roll back some proposed trade measures that would have affected American streaming companies.

Discussions involving the US-Mexico-Canada trade agreement have been taking place frequently but informally, according to the official. However, no major breakthrough is expected during the summit.

(With inputs from Reuters)