U.S. Ambassador to India Sergio Gor said the two nations must resolve trade and investment friction points to unlock their economic potential.
Addressing these barriers is seen as critical to creating a stable environment for businesses to expand operations and investments across both borders.
Speaking Tuesday at the Indo-American Chamber of Commerce (IACC) National Convention in Mumbai, Gor said there is a need for a more transparent economic relationship [1]. He said that establishing predictable taxation and regulatory frameworks is essential for allowing businesses to thrive [2].
Gor said the partnership requires a concerted effort to strengthen intellectual-property protections [2]. By removing these systemic hurdles, he said the two countries can better utilize their combined economic engine to foster growth [1].
"We must address friction points together as true partners and work on predictable taxation and regulatory frameworks that allow business to thrive," Gor said [3].
The ambassador's remarks during the 2026 convention [1] highlighted a strategic push to move beyond diplomatic agreements and into practical, regulatory alignment. He said that the current friction points act as a ceiling on the total trade volume possible between the U.S. and India [2].
Gor said that a predictable investment climate is the only way to ensure long-term corporate commitment. He said both governments should work in tandem to ensure that rules do not shift unexpectedly, a common complaint among foreign investors in the region [1].
“"We must address friction points together as true partners."”
The push for 'predictable taxation' indicates a specific U.S. effort to reduce the volatility of India's tax administration and regulatory environment. By focusing on intellectual property and tax stability, the U.S. is attempting to lower the risk profile for American companies looking to diversify supply chains away from other Asian markets and into India.
