The United States and India are working on an interim trade deal that could see tariffs on Indian goods drop below 20 percent, Bloomberg reports.

The report said that these discussions are being held in secret. An interim agreement would give both sides the opportunity to continue ongoing negotiations.

It is being said that the talks are at a stage where India hopes that the same thing will not happen to India, as Trump sent letters to 22 countries last week, announcing tariff rates and published them on Truth Social.

When Trump first announced the counter-tariffs on April 2, India's tariff rate was set at 26 percent. If it is reduced below 20 percent in the interim agreement, India will be in an advantageous position. If the tariff rate is finally reduced below 20 percent, it will be considered a success for Indian diplomats, the news mentioned.

Meanwhile, India's Ministry of Commerce and Industry did not respond to an email seeking comment on the matter. The White House and the US Department of Commerce were also not immediately available for comment, the Economic Times reported.