India agrees to cut tariffs to zero, halt Russian oil imports under US deal
New Delhi, India | Web Desk — Indian Prime Minister Narendra Modi has agreed to a landmark trade deal with the United States after mounting economic pressure, including higher tariffs imposed by Washington. US President Donald Trump announced that both countries have reached a mutual agreement aimed at strengthening trade ties and strategic partnership.
Under the agreement, the United States will reduce retaliatory tariffs on Indian goods from 25 percent to 18 percent. In return, India has committed to lowering all tariffs and non-tariff barriers on American products to zero, opening its market wider to US exports.
President Trump also confirmed that India has agreed to stop purchasing crude oil from Russia. Instead, India will be allowed to increase oil imports from the United States and potentially Venezuela. The move marks a significant shift in India’s energy policy, especially in the context of the Ukraine war and ongoing Western sanctions on Moscow.
Additionally, Prime Minister Modi has agreed to purchase over $500 billion worth of US energy, technology, agricultural, and other goods, a move expected to significantly boost American exports and bilateral trade volume.
It is noteworthy that despite repeated warnings from the US and Europe, India had continued buying discounted Russian oil, arguing it was an internal matter and pointing out that Western countries were also importing Russian energy. This stance had previously triggered strong reactions from President Trump, who responded by increasing tariffs to maintain pressure on New Delhi.
