Prime Minister Narendra Modi is likely to hold bilateral talks with US President Donald Trump on the sidelines of the Group of 7 summit, with trade, visas and energy cooperation set to be high on the agenda, an Indian government source said.

The June 15 to 17 summit, in the French town of ​Evian-les-Bains, will bring together leaders from the world's ⁠major economies, including Trump, alongside other ​high-level delegations from countries including India.

Modi is set to start his five-day visit from June 13 and will travel to Slovakia after attending the G7 meeting.

"The prime minister is expected to hold talks on the trade ties, energy cooperation, and also take up the issue of H-1B visas," the source with direct knowledge of the matter said.

A meeting between the two leaders would come at a delicate moment in ties between New Delhi and Washington, which have been strained by 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.

Recent high-level engagement, including US Secretary of State Marco Rubio's visit to India last month, has helped ease some of the tension, with the two sides discussing trade, visas, maritime security, energy supplies and the Middle East.

Trade talks between New Delhi and Washington are moving towards the first tranche of a bilateral trade agreement which could be concluded by mid-July, India's Trade Minister Piyush Goyal said last week.

India is pushing for preferential tariff treatment from the United States as part of negotiations on an interim trade deal.

Washington has also proposed an additional 12.5 per cent tariff on imports from India and several other countries, alleging the use of forced labour - which India has rejected.

"The talks on the additional tariff have not concluded yet and we are hopeful that we will get competitive rates," a second Indian government source said.

India's foreign ministry and the US embassy in India did not respond to requests for comment.

The tightening of requirements for H-1B visas is also set to feature in the likely Modi-Trump discussion, given its implications for thousands of Indians working in the United States, the first source said.

The source added that Modi and Trump may also discuss potential energy cooperation involving the United States and Venezuela.