New Delhi: The US India trade deal announcement gained momentum after US President Donald Trump confirmed a reduction in reciprocal tariffs on Indian products from 25% to 18%, following a conversation with Prime Minister Narendra Modi.
In a statement shared on social media, President Trump described his discussion with Prime Minister Modi as productive, covering a wide range of issues including trade and global geopolitical developments.
The US India trade deal announcement includes immediate implementation of reduced tariffs, aimed at strengthening economic cooperation between the two countries.
Also Read: Mega Textile Parks in Challenge Mode: Budget 2026 Announces Five-Component Textile Programme
US India Trade Deal Announcement: Reciprocal Tariff Reduction and Market Access Commitments
According to President Trump, the agreement also involves India moving forward to reduce its tariffs and non-tariff barriers on US products to zero.
The US India trade deal announcement further outlines India’s commitment to increase purchases from the United States, including energy, technology, agricultural goods, coal, and other products, amounting to over $500 billion.
President Trump stated that the leaders also discussed international developments, including efforts related to ending the Russia-Ukraine war.
He noted that Prime Minister Modi agreed to stop purchasing Russian oil and increase sourcing from the United States and potentially Venezuela.
Emphasising the strength of bilateral ties, President Trump said the relationship between India and the United States would grow stronger going forward.
He described Prime Minister Modi as a powerful and respected leader and expressed confidence that both leaders would continue to work closely to advance cooperation between the two nations.
Also Read: Economic Survey 2026: MSMEs Contribute 35.4% of Manufacturing, 48.58% of Exports
Prime Minister Narendra Modi noted that when two large economies and the world’s largest democracies collaborate, it benefits their people and creates vast opportunities for mutually beneficial cooperation.
Prime Minister Modi emphasised that President Trump’s leadership plays a vital role in promoting global peace, stability, and prosperity. He reaffirmed India’s support for President Trump’s efforts towards peace and expressed optimism about strengthening the partnership between the two nations.
Following the discussion, Prime Minister Modi shared details of the conversation on social media platform X. In his post, he described the interaction as “wonderful” and welcomed the reduction of tariffs on Made in India products to 18%.
Reacting to the US India trade deal announcement, Sameer Merchant, MD & CEO, Laxmi Dental Limited said, “The reduction in tariffs by the US is a meaningful step toward easing trade barriers for the global medical device sector and reinforces confidence in the cross-border healthcare ecosystem. Improved market access can support export momentum and create headroom for manufacturers to reinvest in advanced technologies, quality systems, and capacity expansion. For specialised medical device segments, such developments are particularly significant, as they enable greater participation in global value chains while maintaining high standards of precision, safety, and compliance. By lowering entry thresholds and improving trade economics, this move supports long-term manufacturing sustainability and encourages innovation-led growth, ultimately contributing to wider access to high-quality medical devices across international markets.”
