February 3, 2026
NEW DELHI – US President Donald Trump on Monday announced a “trade deal” between the United States and India, saying that Washington will reduce the reciprocal tariffs on Indian imports from 25 per cent to 18 per cent.
“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,” Trump said.
The US President claimed that Prime Minister Modi has agreed to stop buying Russian Oil and start purchasing more American and Venezuelan crude oil.
“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!” he said.
Trump stated that they have agreed to a trade deal between the United States and India, following which the US will charge a reduced Reciprocal Tariff, lowering it from 25 per cent to 18 per cent.
The White House confirmed to news agency IANS that the additional 25 per cent penalty for purchasing Russian oil will also be dropped. This will reduce the total US tariffs on Indian goods entering the American territory to 18 per cent.
According to him, India will also “move forward to reduce their Tariffs and Non Tariff Barriers against the United States, to ZERO.”
Trump also stated that PM Modi 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!” he added.
Modi thanks Trump, hails his leadership
In a separate post on X, PM Modi confirmed the development and thanked President Trump for the announcement.
“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,” Modi said.
The Prime Minister said that India and the US working together will benefit the people of the two countries and unlock the “immense opportunities for mutually beneficial cooperation.”
Modi also lauded Trump’s leadership, terming it “vital for global peace, stability, and prosperity.”
“India fully supports his efforts for peace,” Modi said, adding, “I look forward to working closely with him to take our partnership to unprecedented heights.”