800 326 9054The United States will lower tariffs on India as part of a trade deal announced Monday by President Donald Trump that also includes Indian purchasing commitments, few details of which were released.
Trump said on Truth Social that the U.S. would lower current 25% reciprocal tariffs to 18%. Prime Minister Narendra Modi has agreed to stop buying Russian oil and also has “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 his post.
“They will likewise move forward to reduce their Tariffs and Non Tariff Barriers against the United States, to ZERO,” Trump said.
In his own statement, Modi said he was “delighted that Made in India products will now have a reduced tariff of 18%. Big thanks to President Trump on behalf of the 1.4 billion people of India for this wonderful announcement.”
A White House spokesperson said an additional tariff of 25%, imposed due to India’s purchases of Russian oil, is being dropped.
The White House did not have additional details about the deal, including specific commitments to purchase agricultural products.
Said Modi: “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. I look forward to working closely with him to take our partnership to unprecedented heights.”
The announcement comes on the heels of an announcement last week that India and the European Union had reached a trade deal.
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*Sourced from Agri-Pulse.