Trump tariffs India update: US President Donald Trump announced an agreement on a trade deal between India and US. At the same time, he said Washington was cutting the tariffs bruising Indian trade from 50% to 18%. The earlier figure included 25% reciprocal tariff and 25% import tax on India over its purchase of Russian crude oil.
Now that India will enjoy a lower tariff, making its exports competitive against regional competitors, here’s a look at how other nations fare:
How Trump announced deal agreement
In his trademark style, US President broke the news on his social media platform Truth Social.
He wrote: “It was an Honor to speak with Prime Minister Modi, of India, this morning. He is one of my greatest friends and, a Powerful and Respected Leader of his Country. We spoke about many things, including Trade, and ending the War with Russia and Ukraine. He agreed to stop buying Russian Oil, and to buy much more from the United States and, potentially, Venezuela. This will help END THE WAR in Ukraine, which is taking place right now, with thousands of people dying each and every week! 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%. They will likewise move forward to reduce their Tariffs and Non Tariff Barriers against the United States, to ZERO. The Prime Minister also 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. Our amazing relationship with India will be even stronger going forward. Prime Minister Modi and I are two people that GET THINGS DONE, something that cannot be said for most. Thank you for your attention to this matter! PRESIDENT DONALD J. TRUMP”
What Modi said
Hailing the development as a positive for Made in India products, PM Modi thanked Trump on behalf of “1.4 billion people of India”.
In an X post, he wrote: “Wonderful to speak with my dear friend President Trump today. 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.
When two large economies and the world’s largest democracies work together, it benefits our people and unlocks immense opportunities for mutually beneficial cooperation.
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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.
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