US to drop 25 pc tariff linked to India’s Russian oil purchases: White House
Washington, Feb 2 US President Donald Trump on Monday said India and the United States have reached a trade deal following a phone conversation with Prime Minister Narendra Modi, signalling a potential reset in bilateral trade and energy cooperation.
In a post on Truth Social, Trump said the agreement would immediately lower the US reciprocal tariff on Indian goods to 18 per cent from 25 per cent. He added that India would move to reduce tariff and non-tariff barriers on US products and significantly increase purchases of American energy, technology and agricultural goods.
Prime Minister Modi in his post on X said that “Delighted that ‘Made in India’ products will now have a reduced tariff of 18 per cent.”
“When two large economies and the world’s largest democracies work together, it benefits our people and unlocks immense opportunities for mutually beneficial cooperation,” PM Modi said.
Trump claimed the discussions also covered geopolitical issues, including the Russia-Ukraine conflict, and said India would shift energy sourcing away from Russia and expand imports from the US. He said the deal would take effect immediately.
The announcement comes ahead of External Affairs Minister S. Jaishankar’s visit to Washington for the Critical Minerals Ministerial, as India and the US continue talks to deepen trade, investment and strategic cooperation across energy, technology and supply chains.
