Washington – President Trump announced Monday that he and Indian Prime Minister Narendra Modi have agreed to a trade deal that will drop tariffs on Indian goods to 18 percent and halt India’s purchase of Russian oil.
in one Posted on Truth Socialthe president said Modi also committed to buying American products at a much higher level and buying more than $500 billion in US energy, technology, agriculture, coal and other goods. The president said India will buy more oil from the US and “potentially” from Venezuela.
“He agreed to stop buying Russian oil, and to buy a lot more from the United States and potentially Venezuela,” Mr. Trump wrote. “This will help END the WAR going on in Ukraine right now, where thousands of people are dying every week! Out of friendship and respect for Prime Minister Modi, and at his request, effective immediately, we agreed to a US-India Trade Agreement whereby the US will charge a reduced Reciprocal Tariff, and reduce their own tariffs from 25%. Tariff barriers against the US to ZERO.”
Mr Trump set rates last year in 50% 50% products in order to pressure the country to buy Russian oil. India is one of Russia’s largest customers of crude oil, and the country’s ongoing trade war with Moscow during the Ukraine war has strained the US-India relationship.
Modi later confirmed the reduced tariff on X.
“I am happy that Made in India products will have a reduced tariff of 18%,” Modi wrote. “Thank you to President Trump on behalf of the 1.4 billion people of India for this wonderful announcement. When the world’s two largest economies and largest democracies work together, it benefits our people and opens up tremendous opportunities for mutual cooperation.”
India signed a landmark trade deal with the European Union last week some leaders say Mr. Trump’s trade policies pushed both sides to end the deal that had been in the works for years.