After speaking with India’s PM, Trump said that the US would lower its tariff rate on Indian goods, while again claiming that India had agreed to stop buying Russian oil. Modi thanked Trump for the deal.
Modi and Trump met at the White House in February 2025
Trump has put pressure on India since taking office with tariff threats over Russian oil purchases
US President Donald Trump on Monday said he agreed to a trade deal with India following a phone call with Indian Prime Minister Narendra Modi.
“Out of friendship and respect for Prime Minister Modi and, as per his request, effective immediately, we agreed to a Trade Deal between the United States and India, whereby the United States will charge a reduced Reciprocal Tariff, lowering it from 25% to 18%,” Trump said in a social media post.
Trump added that India had agreed to stop buying Russian oil, something which he has claimed in the past.
He said India would also reduce its import taxes on US goods to zero and buy $500 billion worth of US energy, technology and agricultural products.
The president did not provide further details of the oil purchases, other than saying India would buy “much more from the United States and potentially Venezuela.”
Modi welcomes tariff cut
The Indian government has not yet issued an official statement, but Modi confirmed the tariff reductions in a post on X.
