US President Donald Trump on Monday announced that Washington and New Delhi have reached a trade agreement to lower reciprocal tariffs, in what is being billed as a major reset in bilateral trade ties. Following a phone call with Prime Minister Narendra Modi, Trump said the US will immediately cut tariffs on Indian goods from 25 per cent to 18 per cent, while claiming that India has agreed to reduce its tariffs and non-tariff barriers on US products to “zero.”
In a post on Truth Social, Trump described Modi as a close friend and a respected leader, adding that India had also agreed to stop buying Russian oil and ramp up energy purchases from the US. He said New Delhi would significantly ease trade barriers for American goods, signalling a broader opening of India’s market to US exports. A White House official later told ANI that the US will also withdraw an additional 25 per cent tariff imposed over India’s Russian oil purchases, but stressed that India must “cease, not just reduce” its intake of Russian crude.
