<figure id="attachment_3277184" aria-describedby="caption-attachment-3277184" style="width: 1600px" class="wp-caption alignnone"><img loading="lazy" class="size-full wp-image-3277184" src="https://media.freemalaysiatoday.com/wp-content/uploads/2026/02/ddb7bfec-modi-x-trump-07022026.webp" alt="" width="1600" height="1000" /><figcaption id="caption-attachment-3277184" class="wp-caption-text">US President Donald Trump, while announcing the deal Tuesday, said Narendra Modi promised to stop buying Russian oil over the war in Ukraine. (EPA Images pic)</figcaption></figure>
NEW DELHI: Indian Prime Minister Narendra Modi on Saturday hailed an interim trade agreement with the US, saying it would bolster global growth and deepen economic ties between the two countries.
The pact cuts US &#8220;reciprocal&#8221; duties on Indian products to 18% from 25% and commits India to large purchases of US energy and industrial goods.
US President Donald Trump, while announcing the deal Tuesday, said Modi promised to stop buying Russian oil over the war in Ukraine.
The deal eases months of tensions over India&#8217;s oil purchases – which Washington says fund a conflict it is trying to end – and restores the close ties between Trump and the man he describes as &#8220;one of my greatest friends&#8221;.
&#8220;Great news for India and USA!&#8221; Modi said on X on Saturday, praising US President Donald Trump&#8217;s &#8220;personal commitment&#8221; to strengthening bilateral ties.
The agreement, he said, reflected &#8220;the growing depth, trust and dynamism&#8221; of their partnership.
Modi&#8217;s remarks came hours after Trump issued an executive order scrapping an additional 25% levy imposed over New Delhi&#8217;s purchases of Russian oil, in a step to implement the trade deal announced this week.
Modi, who has faced criticism at home about opening access of Indian agricultural markets to the US and terms on oil imports, did not mention Russian oil in his statement.
&#8220;This framework will also strengthen resilient and trusted supply chains and contribute to global growth,&#8221; he said.
It would also create fresh opportunities for Indian farmers, entrepreneurs and fishermen under the &#8220;Make in India&#8221; initiative.
In a separate statement, commerce minister Piyush Goyal said the pact would &#8220;open a US$30 trillion market for Indian exporters&#8221;.
Goyal also said the deal protects India&#8217;s sensitive agricultural and dairy products, including maize, wheat, rice, soya, poultry and milk.
Other terms of the agreement include the removal of tariffs on certain aircraft and parts, according to a separate joint statement released Friday by the White House.
The statement added that India intends to purchase US$500 billion of US energy products, aircraft and parts, precious metals, tech products and coking coal over the next five years.
The shift marks a significant reduction in US tariffs on Indian products, down from a rate of 50% late last year.
Washington and New Delhi are expected to sign a formal trade deal in March.

MatchPoint Times

India’s Modi lauds interim trade pact after US tariff rollback

The pact cuts US ‘reciprocal’ duties on Indian products to 18% from 25% and commits India to large purchases of US energy and industrial goods.

Modi accorded official welcome at Perdana Putra Complex

North Korea to hold party congress in February, first since 2021