US, India unveil interim trade deal framework

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The United States and India on Friday released the framework for an interim trade agreement following President Donald Trump‘s announcement of a trade deal with India.

The framework “reaffirms the countries’ commitment to the broader US-India Bilateral Trade Agreement (BTA) negotiations,” according to a joint statement released by the White House.

Under the agreement, India will “eliminate or reduce tariffs” on all US industrial products and a wide range of US food and agricultural goods.

New Delhi also plans to buy about $500 billion (€423 billion) worth ‌of US energy goods and aircraft, among other purchases, over the next five years. 

Trump cuts India’s Russia-related tariffs

The interim trade agreement comes after Trump announced a trade deal with India on Monday. The US agreed to slash its so-called reciprocal tariffs on Indian goods to 18%.

Trump also signed an executive order on Friday rescinding a punitive extra 25% duty  he had imposed on all imports from ⁠India.

“India has committed to stop directly or indirectly importing Russian Federation oil,” according to the executive order, which also said that New Delhi is “committed to a framework with the United States to expand defense cooperation over the next 10 years.”

In August 2025, Trump doubled duties on Indian goods to pressure New Delhi to stop buying Russian oil — an additional 25% duty was stacked on top of the 25% reciprocal tariff.

Washington and New Delhi are expected to sign a formal trade deal in ‍March, Indian Trade Minister Piyush Goyal said ​on Thursday.

India: From tariff fortress to free-trade powerhouse

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Edited by: Sean Sinico