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India-US Trade Deal Cuts Tariffs, Boosts 'Made in India' Exports

The newly announced India-US trade agreement will see the US reduce its reciprocal tariff on Indian goods from 25% to 18%. Union Minister Ashwini Vaishnaw stated the deal is a win-win that will greatly benefit citizens and industries in both nations. Prime Minister Narendra Modi expressed delight, thanking President Donald Trump for the announcement which benefits 'Made in India' products. The deal is also linked to broader geopolitical goals, including India's agreement to stop purchasing Russian crude oil.

Key Points: India-US Trade Deal: Tariffs Cut, Modi & Trump Hail Agreement

  • US cuts tariff on Indian goods from 25% to 18%
  • Deal linked to India halting Russian oil purchases
  • Modi & Trump hail strengthened partnership
  • Aimed at co-creating technologies and solutions
  • Seen as vital for global peace and prosperity
2 min read

India-US trade agreement is a win-win deal: Ashwini Vaishnaw

US slashes tariffs on Indian goods to 18% in a new trade deal. PM Modi and President Trump call it a win-win for both democracies and global stability.

"India-US trade deal is a win-win deal. Citizens and industries of both countries will benefit greatly. - Ashwini Vaishnaw"

New Delhi, Feb 3

The India-US trade deal is a win-win deal and citizens and industries of both countries will benefit greatly from this agreement, Union Minister Ashwini Vaishnaw said on Monday.

In a detailed post on Truth Social, US President Donald Trump said the agreement would immediately reduce the US reciprocal tariff on Indian goods from 25 per cent to 18 per cent, calling it a major shift in bilateral trade ties linked to energy cooperation and broader geopolitical goals.

"US and India are world's largest democracies. Both countries are natural allies. Together, India and US have huge potential to work for peace and development," said Vaishnaw.

"US and India have complementary strengths. Both countries can co-create technologies and co-develop solutions that will benefit the world. Trade deal between US and India will lead to brighter future for both countries. India-US trade deal is a win-win deal. Citizens and industries of both countries will benefit greatly from this deal," the minister added.

As part of the trade deal, the United States will drop a 25 per cent tariff linked to Russian oil purchases as part of India's agreement to stop buying crude from Russia

Prime Minister Narendra Modi said that 'Made in India' products will now have a reduced tariff of 18 per cent, as US President Donald Trump said India and the United States had reached a trade deal.

He posted on X that it was "wonderful to speak with my dear friend President Trump today".

"Delighted that 'Made in India' products will now have a reduced tariff of 18 per cent. Big thanks to President Trump on behalf of the 1.4 billion people of India for this wonderful announcement," Prime Minister posted.

"When two large economies and the world's largest democracies work together, it benefits our people and unlocks immense opportunities for mutually beneficial cooperation. President Trump's leadership is vital for global peace, stability, and prosperity. India fully supports his efforts for peace," PM Modi further stated.

He said he looks forward to working closely with Trump to "take our partnership to unprecedented heights"

- IANS

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Reader Comments

S
Sarah B
Interesting to see the geopolitical angle. The deal is linked to India stopping Russian oil purchases. While good for trade, I hope our energy security and cost for the common man isn't compromised. Need to see the fine print.
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Rohit P
Win-win indeed! But let's ensure the benefits actually reach our small industries and farmers, not just the big corporates. The government must have a clear plan for equitable distribution of these trade gains. Jai Hind!
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Priya S
Co-creating technologies with the US is the real game-changer! Imagine joint ventures in semiconductors, AI, and renewable energy. This could accelerate our journey to becoming a $5 trillion economy. Very exciting news! ✨
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Michael C
As someone who follows international trade, this seems like a pragmatic deal. India gets better market access, the US gets a strategic partner to counterbalance China and secures India's shift away from Russian energy. A classic diplomatic win.
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Ananya R
I just hope the prices of daily essentials don't go up because we stop buying cheaper Russian oil. The deal is good on paper, but aam aadmi ke liye kya hai? That's what matters most.

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