Washington: The United States and India have reached a significant trade agreement under which US President Donald Trump has announced a substantial reduction in tariffs imposed on Indian products. According to the deal, reciprocal tariffs on Indian exports to the US have been reduced from 25 percent to 18 percent, with immediate effect.
President Trump made the announcement on social media following a telephone conversation with Indian Prime Minister Narendra Modi. In his statement, Trump said the decision was taken at the request of Prime Minister Modi and reflects the strong friendship and mutual respect between the two countries.
The US president also revealed that the agreement includes India’s commitment to halt purchases of Russian oil while increasing oil imports from the United States and Venezuela. He described this aspect of the deal as a strategic step toward strengthening energy cooperation between Washington and New Delhi.
According to President Trump, Prime Minister Modi has further pledged to purchase more than $500 billion worth of American products, including energy resources, technology, agricultural goods, and other commodities. Trump termed the commitment a major economic breakthrough for the United States.
He added that the agreement would elevate US–India trade relations to new heights and deliver positive outcomes for the American economy.
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Indian Prime Minister Welcomes the Decision
Reacting to the announcement, Prime Minister Narendra Modi thanked President Trump for the tariff reduction. In a social media post, Modi said he was pleased with the decision and described the reduction of tariffs on Indian products to 18 percent as a significant and welcome development.
He added that, on behalf of the Indian people, he sincerely appreciates President Trump’s move, calling it a positive step toward deeper economic cooperation between the two nations.
