The United States will reduce the reciprocal tariff it charges on imports from India from 25 per cent to 18 per cent, President Donald Trump announced on Monday after a phone conversation with PM Modi.
He added that India would likewise move to cut its own tariffs and non-tariff barriers on US goods to zero.
“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 per cent to 18 per cent. They will likewise move forward to reduce their Tariffs and Non Tariff Barriers against the United States, to ZERO,” the US President’s post read.
However, there has been no official comment or confirmation from New Delhi yet on Trump’s claims.
The announcement comes against the backdrop of a bruising trade dispute that saw US tariffs on Indian exports surge as high as 50 per cent last year – tariffs that Washington linked to New Delhi’s continued purchases of Russian crude oil.
In addition, he said India had agreed to stop buying Russian oil and instead increase purchases from the United States and, potentially, Venezuela.
“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!,” Trump’s post further read.
