Trump announces India-US trade deal; Tariffs to go down from 25% to 18%

The United States has agreed to a trade deal with India to reduce the reciprocal tariff from 25% to 18%, former US President Donald Trump said, citing friendship and respect for Prime Minister Narendra Modi and acting on his request.

US President Donald Trump announced a trade deal between India and the United States, citing “friendship and respect” for Prime Minister Narendra Modi. In a post on Truth Social, Trump said the United States agreed to reduce reciprocal tariffs from 25% to 18%.

Trump said he held a conversation with Prime Minister Modi, during which they discussed trade and efforts to end the Russia–Ukraine war. He added that India agreed to stop buying Russian oil and to purchase more from the United States.

"It was an honour to speak with Prime Minister Modi. He is one of my greatest friends and, a Powerful and Respected Leader of his Country. We spoke about many things, including Trade, and ending the War with Russia and Ukraine. He agreed to stop buying Russian Oil, and to buy much more from the United States and, potentially, Venezuela. This will help END THE WAR in Ukraine, which is taking place right now, with thousands of people dying each and every week,” the post read.

In a statement, Trump also added that India would move towards reducing barriers to “zero” and that Prime Minister Narendra Modi has committed to “Buy American” at a much higher level.

He also said that India would purchase over $500 billion worth of US energy, technology, agricultural products, coal, and other goods, calling the move a major boost to bilateral ties.

“They will likewise move forward to reduce their Tariffs and Non Tariff Barriers against the United States, to ZERO. The Prime Minister also committed to "BUY AMERICAN," at a much higher level, in addition to over $500 BILLION DOLLARS of U.S. Energy, Technology, Agricultural, Coal, and many other products,” Trump said.

In a statement, Trump added that India would move towards the reduction of Tariff and Non Tariff Barriers against the United States to Zero.

However, New Delhi has not yet made any remarks on Russian oil and the reduction of Tariff and non-tariff barriers against the US.