India-US trade deal highlights: Trade deal in final stages of negotiations, joint statement soon, says Piyush Goyal

Government sources on Tuesday clarified that the much-talked-about $500 billion trade commitment with the United States is spread over five years and includes existing as well as upcoming projects, especially in capital-intensive sectors such as energy and data centres.

“The $500 billion includes the existing pipeline of projects, and India has a lot of avenues such as data centres and energy to spend it on. Data centres alone need $20 billion,” a government source said.

Addressing concerns around tariffs, sources said zero-duty benefits will not be one-sided.

“On zero duty, in several cases India will also get zero duty,” the source added.

Officials clarified that the agreement is currently at the level of a political understanding between the two leaders, and not yet a legally binding trade pact.

“Right now, the agreement is at the leaders’ level understanding,” the source said.

A joint statement outlining the framework agreement is expected within the next two to three days, which will lay down the broad contours of the deal.

“The joint statement on the framework agreement will come in the next 2–3 days with broad contouring of the deal,” the source noted.

Explaining the road ahead, officials said this is only the first stage of a multi-step process.

“This is the first stage of the agreement — a framework agreement — after which a bilateral trade agreement would be discussed. This framework agreement would eventually be merged into the BTA,” the source said.

We are under final stages of detailing with the negotiating team. A joint statement of India-US FTA is likely to be issued this week: Government of India Sources

Piyush Goyal: Our demand for ICT products, Data Centres, for raw materials is rising, this deal opens opportunities to get world class products in these sectors.

Piyush Goyal: India is the fastest-growing large economy. Our demand is continuously increasing. This deal opens India's opportunities to get world class equipment.

Piyush Goyal: We stand for the people of India, and for national interest. The trade deal is under final stages of detailing.

Piyush Goyal: India, US trade deal under final stages of negotiations, will shortly issue a joint statement along with details.

Piyush Goyal: As soon as the final understanding of the deal is inked, technical processes are completed, full details will be shared.

Piyush Goyal: This is a deal that will protect interest of every Indian.

Piyush Goyal: This is a deal that will protect the interest of dairy and agri sectors in full respect

Piyush Goyal: US tweeted first because they had levied reciprocal tariffs and they had to lower it so it is natural since they had to lower tariffs President Trump had to inform it.

Piyush Goyal: I want to thank Donald Trump, who respected PM Modi 's friendship.

Piyush Goyal: Going forward, US-India ties will improve.

Piyush Goyal: India, US ties will strengthen further, and ensure a bright future..

Piyush Goyal: The trade deal is a step forward for India's bright future.

Piyush Goyal: This isn't just a trade deal but a sign of India's great future and faster economic growth

Piyush Goyal: AI, semiconductors, critical minerals, these sectors will get investments from US

Piyush Goyal: I wanted to speak about this in the Parliament but the way the opposition led by Rahul Gandhi were misbehaving in the Parliament, insulted the speaker. I condemn the opposition and Rahul Gandhi and because of whom I had to do the media briefing here

Piyush Goyal: PM Modi and Trump's friendship has led to a trade deal is a better deal versus our neighbours and competitors

Piyush Goyal: Labour intensive sectors, IT sector are happy with the deal.

Piyush Goyal: Engineering sector, MSME sector , textile sector, gems and jewellery, Marine goods will get many opportunities due to the deal.

Piyush Goyal: Auto components, aircraft parts, all engineering goods, textile, leather, marine will get significant opportunities under the trade deal

Piyush Goyal: PM has always taken care of the concerns of agri and dairy sectors

Piyush Goyal: We have never compromised on the interests of farmers, those linked to dairy sector

Piyush Goyal: Sensitive agri items, dairy protected in the US trade deal

Goyal: All sectors in India are jubilant with the trade deal

Piyush Goyal: PM Modi concluded a deal based on his friendship with Trump which we were not being able to finalise for many months.

Piyush Goyal: The nation knows how PM has always prioritised and protected the agri and farm sector.

Piyush Goyal: We all know how PM Modi stands up always for our farmers, dairy sector. He always talks about their well-being

Piyush Goyal: PM Modi saved India from joining RCEP

Piyush Goyal: India under PM Modi walked out of RCEP and saved the country prioritising and protecting farmers

Piyush Goyal: For months, our negotiating team were constantly in dialog with US counterparts. There was a lot of differences, there was 50 percent tariff on India.

Piyush Goyal: There were many difficult subjects and issues. India was subjected to 50% reciprocal tariffs. Marine exporters, textile exporters were in a difficult situation.

Piyush Goyal: PM Modi finalised a fantastic deal for India

Piyush Goyal: On behalf of 140 crore Indians I want to thank PM Modi because this deal will bring lot of opportunities for India's economic growth, for farmers, poor, fishermen, women, youth

Piyush Goyal: A trade deal which prioritises people has been concluded with the US

Piyush Goyal: All Indians across the world praising PM Modi since he has struck a great trade deal with US

Commerce Minister Piyush Goyal will address the media on camera on US trade deal at 5.15 pm at Vanijya Bhawan today.

Sanjiv Puri, Chairman & MD, ITC Ltd on the India-US deal.

“The historic India-US deal spearheaded by the Hon'ble Prime Minister's vision and laudable global statesmanship signals a new era of co-operation in trade and development between the world's largest democracies. It will spur trade and manufacturing, enhance livelihood opportunities and enable India to take strong strides towards a Vikshit Bharat. Coming on the back of the mega agreements between India and EU, UK, New Zealand, Oman and others, these strategic partnerships have been commendably led by the Hon'ble Commerce Minister, demonstrating India's confidence and ascent in the global economic order as a partner of choice, substance and potential. These deals indeed mark a golden era for India enabling a deeper integration with global value chains.”

DEA Secretary Thakur on India-US trade deal: Rupee has gone up today, flows are coming back on the FPI side. Capital flows change in any manner the rupee behaves in a different manner. I think once the trade deal gets operationalised it will have an impact. But let's wait a little bit. Maybe just another 15 days or a month, it will give us a clear indication, we will have the details. But it will definitely have an impact.

India-US trade deal live: The India–US trade deal will help remove market uncertainty, says JioBlackRock Investment

On the India–US trade deal, MD & CEO of JioBlackRock Investment Advisor Marc Pilgrem says, “The India–US trade deal will help remove market uncertainty"

Arvind Shrivastava, Secretary, Department of Revenue, Ministry of Finance, Government of India.

India-US trade deal will further expand and deepen trade between two of the largest economies of the World. It will create more opportunities for our labour-intensive and manufacturing sectors in the US market and give impetus to mutually-beneficial collaboration in high and advanced technology sectors.

The Kremlin said Tuesday it had not received any indication from India that it would stop buying Russian oil following the announcement of a trade deal with US President Donald Trump. "So far, we haven't heard any statements from New Delhi on this matter," Kremlin spokesman Dmitry Peskov told reporters, including AFP, a day after Trump said Indian Prime Minister Narendra Modi had promised he would stop buying Russian oil as part of a deal to ease tariffs.

On the India-US Trade Agreement, Congress MP Dr Syed Naseer Hussain says, "The Parliament session is underway in India. It is the government's responsibility to discuss all important developments, whether in the political sphere, the international sphere, or economic deals, in Parliament. This has always been the practice, but for the past few years, we have observed that due to deviations in our foreign policy and confusion, this is no longer happening. Instead of being informed by the government, the Indian people and the Indian Parliament are learning about these matters through tweets from US President Trump... We repeatedly demand that the government, whether it's a matter of security, foreign policy, the economy, or international deals, should either present papers to both Houses of Parliament, or issue a statement, or at least allow a discussion on the matter. Therefore, we want a statement in Parliament regarding all the disagreements and disruptions concerning trade tariffs between America and India and all the deals that have been made... The American Agriculture Minister has made a big claim that the deal with India will benefit American farmers and the American agricultural industry. We need to discuss how this is benefiting them and how it is harming us..."

The Opposition, on Tuesday, launched a sharp attack on the Narendra Modi government over the India-US trade deal, accusing it of prioritising American farmers while undermining the interests of India’s agricultural sector.

The Congress, in a post on X, quoted US Secretary of Agriculture Brooke Rollins as saying that American farm products would now be sold in the Indian market, a move that would “bring money into rural America”. The party said Rollins had also described India as an “extremely important” market for US farmers, and claimed that former US President Donald Trump had ensured benefits for American agriculture through the agreement.

US President Donald Trump said India has agreed to stop purchasing Russian oil. He stated that India would instead buy more oil from the United States and possibly from Venezuela. Trump also said that under the trade deal, India has committed to purchasing 500 billion dollars worth of US energy, agricultural products, coal and other goods.

The Indian rupee rallied sharply on Tuesday after India and the United States announced a trade agreement that reduced US tariffs on Indian goods, reversing market indicators that had earlier signalled prolonged pressure on the currency.

Prior to the announcement late on Monday, the rupee had been on a steady depreciating path, having fallen around 5 per cent since the tariffs were imposed in late August.

Following the deal, the currency staged a strong recovery and was last trading nearly 1.2 per cent higher, putting it on track for its biggest single-day gain in more than three years. At the same time, forward-looking indicators used by investors to assess the rupee’s outlook shifted decisively in its favour.

The US-India trade deal has eased concerns among American enterprises that outsourcing to India could face tighter restrictions, helping revive confidence that had quietly slowed decision-making over the past year.

While the finer details of the agreement are yet to be disclosed, analysts say the announcement has provided much-needed clarity to US boardrooms assessing long-term technology and IT sourcing engagements with India.

India has moved to the global centre stage and is shaping the emerging world order, following the India-US tariff agreement and the trade deal with the European Union, PM Modi told NDA parliamentarians today.

“The world is tilting towards India,” PM Modi said, describing the twin trade breakthroughs as proof of India’s strength amid global uncertainty. He also termed the India-US deal a vindication of the government’s strategic patience in international negotiations.

The agreed 18 per cent duty on Indian exports to the US preserves India’s competitiveness as a global manufacturing and export base, the India Cellular and Electronics Association (ICEA) said on Tuesday.

India and the US have sealed a trade deal under which Washington will cut reciprocal tariffs on Indian goods to 18 per cent from 25 per cent.

“This is a positive and competitive outcome for India. At 18 per cent, India remains well placed against key manufacturing peers and retains its attractiveness as a global manufacturing and export hub,” ICEA Chairman Pankaj Mohindroo said, adding that the pact supports India’s strategy of scaling manufacturing and deeper integration with US-led global value chains, particularly in electronics.

External Affairs Minister S Jaishankar will hold talks with US Secretary of State Marco Rubio at the Department of State today as part of his three-day visit to the United States. Jaishankar is also set to participate in the inaugural Critical Minerals Ministerial on February 4, hosted by Washington, aimed at strengthening global cooperation on secure and resilient critical mineral supply chains vital for economic and national security, technology leadership and the energy transition.

During the visit, Jaishankar welcomed the newly announced India-US trade agreement, saying he "welcomed the announcements on bilateral trade." In a post on X, he said the deal would “create more jobs, spur growth and promote innovation in both economies,” while strengthening Make in India and trusted technology partnerships. “A robust economic relationship is the strongest foundation for our strategic partnership,” he added.

Department of Economic Affairs Secretary said, “Let the India-US deal unfold. Let’s wait for the details and that will help us see how it will have impact. The deal is a result of very constructive dialogue that has happened.”

Department of Financial Services Secretary Nagraju added, “The India-US trade deal is a good thing that has happened. It will help exporters.”

India’s revised 18% tariff gives it a competitive advantage over many global exporters.

Key rivals face much steeper duties: Brazil (50%), Myanmar, Laos and Syria (40%), China (37%) and South Africa (30%). Regional competitors like Canada and Mexico are taxed at 25%, while Bangladesh and Vietnam face 20%. Malaysia, Cambodia, Thailand and Pakistan hover around 19%.

Only a few advanced economies enjoy lower rates: the UK (10%), and the EU, Japan, South Korea, and Switzerland (15%).

India’s seafood exporters are set for a rebound in shipments to the U.S. following the India-US trade deal, the Seafood Exporters Association of India (SEAI) said today.

Fish exports to the US had fallen 15 percent in volume to 201,501 tonnes and 6.3 percent in value to USD 1.72 billion during April-November of the current fiscal year, SEAI General Secretary K N Raghavan said. The decline followed the US imposing 50 percent tariffs on Indian goods in August 2025, including a 25 percent penalty linked to India’s Russian oil purchases. “The field has become level again, exports should get the boost,” Raghavan told PTI.

India is likely to exclude sensitive agricultural and dairy products from the US trade deal, a government official said, signaling these sectors will remain largely protected. “What has been the stance remains the stance. The usual stance (for sensitive items in agriculture, dairy) is likely to stay,” the official, who requested anonymity, said, as cited in a Moneycontrol report.

India has traditionally kept key farm and dairy products out of trade agreements, including recent deals with the UK, New Zealand, and the EU.

Indian rice exporters have welcomed the India-US trade deal that reduces tariffs on Indian goods from 25 per cent to 18 per cent, saying it will enhance competitiveness and support demand in key markets as the country heads toward record production.

The Indian Rice Exporters Federation (IREF) called the move timely, noting that India is expecting a record 149 million tonnes of rice in the 2025-26 crop year. "Indian agri products continue to hold an indispensable position in global supply chains, and recent shipment patterns suggest clear demand resilience even under sharply higher duties," the federation said.

Despite previous US duties rising to 50 per cent from an initial 10 per cent, India’s rice exports remained robust. Between April and November 2025-26, the country exported 1,99,055 tonnes of basmati rice and 40,960 tonnes of non-basmati rice to the US. In 2024-25, exports totaled 2,74,213 tonnes of basmati and 61,341 tonnes of non-basmati rice.

Meanwhile, the Department of Economic Affairs (DEA) secretary today said the Union Budget was prepared based on the situation at the time of planning, but recent developments have removed a “great deal of uncertainty,” paving the way for stronger economic buoyancy.

“When Budget was prepared, we were working on the situation as it existed then. We look forward to greater buoyancy. A great deal of uncertainty has been removed,” the secretary said.

US-based singer Mary Millben has lauded the recently announced US‑India trade deal, calling it a demonstration of “the power of humility” in diplomacy.

In a post on X, Millben wrote, “Humility is the pathway to reconciliation, peace, and prosperity. Humility is the foundation of diplomacy. When the acknowledgement of wrong course shifts to a compass of value. Today’s U.S.-India trade deal signals the power of humility. US President Donald Trump, thank you for taking a posture of humility, yielding to the higher purpose of restoring relationship with Prime Minister Narendra Modi, and finalizing a deal of value to both countries. And PM Modi, your public and private humility demonstrated during months of uncertainty with the President, coupled with bold and strategic leadership, has now positioned you as the most valuable leader in geopolitics.”

PM Modi was felicitated by BJP workers with chants of "Jai Modi," "Vande Mataram," and "Bharat Mata ki Jai" after securing the India-US trade deal with US President Donald Trump during the NDA Parliamentary party meeting in Parliament today. The NDA Parliamentary party meeting also saw BJP National President Nitin Nabin formally welcomed in the presence of PM Modi, Union Home Minister Amit Shah, Defence Minister Rajnath Singh, JP Nadda, and other party leaders.

National Stock Exchange of India (NSE) MD & CEO Ashish Kumar Chauhan welcomed the India-US trade agreement, describing it as a “very nice outcome after almost a year of waiting.” Speaking on the deal, Chauhan praised Prime Minister Narendra Modi for ensuring “the best possible outcome for India” and highlighted the importance of securing strong cooperation with the United States. “This deal puts India and the US together,” he added, underscoring the broader economic and strategic implications of the agreement for both nations.

Global media widely hailed the India-US trade deal as a landmark move reshaping economic and diplomatic ties.

Outlets including The New York Times, BBC, Washington Post, Reuters, and AP News underscored the deal’s positive impact on Indian exporters and market access. Coverage also framed it within broader geopolitical shifts, including energy realignments and the Russia-Ukraine conflict, presenting the pact as both a commercial opportunity and a strategic milestone.

The India-US trade deal is being seen as a “first step” toward a broader bilateral agreement that could unlock more private sector collaboration and pave the way for tackling other key issues, leading business chambers and think tanks said.

US Chamber of Commerce President and CEO Suzanne Clark welcomed the tariff reduction, noting it benefits companies and workers in both countries. “We congratulate the US and Indian governments on their announcement to reduce tariffs and non-tariff barriers that will benefit American and Indian companies and workers in both great nations,” Clark said. She added that the deal reflects sustained efforts by President Donald Trump, Prime Minister Narendra Modi, and officials including Ambassadors Vinay Kwatra and Sergio Gor. Clark said the deal is a “first step toward a comprehensive trade agreement” and expressed optimism about future private sector engagement. The Chamber, along with its US-India Business Council, intends to partner with both governments to implement the announcement.

Wendy Cutler, Senior Vice President at the Asia Society Policy Institute and former Acting US Deputy Trade Representative, called the announcement “a relief to our Indian partners,” who have faced some of the highest tariffs of any trading partner. She noted the US reciprocal tariff for India will drop to 18%, slightly better than rates for ASEAN competitors.

The India-US trade deal could serve as a significant boost to India’s electronics, semiconductor, and wider technology ecosystem, according to Ashok Chandak, president of the India Electronics and Semiconductor Association (IEEMA) and SEMI India. “The India-US trade deal can be a major catalyst for India's electronics, semiconductor, and technology ecosystem,” Chandak said in a statement, adding that the agreement would enhance India’s position as a global hub for manufacturing and innovation.

The reduction in tariffs on Indian exports to the United States is expected to give a significant boost to India’s economy, according to Deepak Agrawal, Chief Investment Officer (Debt) at Kotak Mutual Fund.

Agrawal said the move could improve India’s balance of payments gap, strengthen the rupee, and increase foreign exchange reserves. “This development is likely to attract foreign institutional investors who had been waiting on the sidelines. Indian equities have also become more attractive as their valuation premium has narrowed over the past year,” he noted.

He added that the positive macroeconomic outlook could help maintain stability in interest rates, supporting overall financial market sentiment.

Sudarshan Venu, Chairman of TVS Motor Company, welcomed the India-US trade deal following a conversation between Prime Minister Narendra Modi and US President Donald Trump, calling the reduction of the US reciprocal tariff on Indian goods to 18% a “positive step” that enhances export competitiveness.

Venu said the agreement reinforces confidence in long-term bilateral economic ties and aligns with the Prime Minister’s vision of Viksit Bharat 2047. “Equally important is the intent on both sides to progressively lower tariffs and non-tariff barriers, which can deepen supply-chain integration, enable faster technology collaboration, and attract investment into advanced manufacturing,” he added.

He noted that India has secured several strategic trade deals globally, and said predictability and openness in trade will help Indian industry scale, innovate, and create jobs. “We look forward to a stronger India–US partnership that accelerates growth, expands market access, and supports India’s ambition to be a globally competitive manufacturing and innovation hub,” Venu concluded.

CII President Rajiv Memani today welcomed the expected reduction of US–India tariffs to 18 percent, calling it “a significant step forward in the strategic economic partnership between India and the US.”

Congratulating the country’s leadership, Memani said, “CII congratulates the leadership of Hon’ble Prime Minister Shri Narendra Modi and Hon’ble Minister Shri Piyush Goyal for steering a constructive and forward-looking dialogue and clinching this deal with India’s most important trade partner.”

On the broader bilateral impact, Memani said, “The India-US trade deal underscores the shared commitment of India and the United States to deepen trade, technology and investment ties in an increasingly competitive global landscape. CII looks forward to continued engagement with business stakeholders in both countries to translate this momentum into tangible outcomes for businesses and sustained economic growth.”

On the other hand, in New Delhi, Commerce and Industry Minister Piyush Goyal has emerged as the principal negotiator behind the landmark trade agreement, steering months of complex talks amid tariff threats and pressure over India’s energy ties with Russia.

Welcoming the pact on X, Goyal congratulated PM Modi and Trump, calling the deal a reflection of “two like-minded, fair-trading democracies working together for shared prosperity,” and said it would unlock unprecedented opportunities for farmers, MSMEs, entrepreneurs and skilled workers while enabling technology flows from the US.

Throughout the negotiations, Goyal maintained that India would not compromise on core economic interests, stressing in multiple interviews that the country believes in “fair trade, not free trade at any cost,” and that agreements must be win-win and aligned with national priorities. As talks progressed, he indicated growing convergence with Washington, saying there were “no more sticky issues,” while underscoring India’s insistence on balance and reciprocity, a stance that ultimately helped bring the long-stalled negotiations to closure. Know how CIM Goyal's months-long push delivered India-US trade breakthrough.

Senior Trump aide and US Ambassador to India Sergio Gor has emerged as the key architect behind the sudden breakthrough in India-US trade talks, with tariffs on Indian goods cut to 18 percent.

Speaking to CNN-News18 on Monday evening, Gor credited the deal to the personal rapport between US President Trump and PM Modi, saying their relationship “carried this deal forward” and calling the tariff cut “a massive drop” with “incredible deals ahead.” Analysts and diplomats say Gor played a decisive role in accelerating negotiations that had stalled for months, with Washington-based sources saying he “fast-forwarded” talks by accurately conveying India’s position to Trump, while foreign policy expert Michael Kugelman described Gor as the “difference maker” whose arrival in Delhi triggered rapid progress and key breakthroughs.

Find out more about this U.S. ambassador who has "Trump's ears".

In the meantime, the Centre has reportedly begun preparations to formalise the tariff changes announced by US President Trump under the India-US trade deal.

According to a CNBC-TV18 report, the government is moving swiftly to complete official documentation, which is expected to bring clarity on Section 232 tariffs and duties imposed on Indian goods.

Both sides are likely to exchange formal documents soon, outlining the proposed tariff reductions.

Furthermore, Congress MP Sukhdeo Bhagat also criticised the India-US trade agreement, questioning the manner in which details of the deal were made public and alleging that key announcements were coming from US President Trump rather than the Indian government.

Speaking to reporters, Bhagat said he first read about the agreement in a newspaper and expressed surprise at the way the developments were communicated. “I was reading about the deal in a newspaper this morning. I was surprised and wondered if Trump identified himself as the Acting Prime Minister of India,” he said.

The Congress leader argued that there was little reason to celebrate the agreement, claiming that tariffs had effectively been raised in a “disguised” manner. “These things are not being announced by the Prime Minister first, but by Trump. There is nothing to be very happy about. In a disguised way, tariff has been increased,” he said.

Meanwhile, Congress MP KC Venugopal today submitted an adjournment motion notice in the Lok Sabha, seeking an urgent discussion on the reported India-US trade agreement and the commitments made under it.

In his notice, Venugopal flagged the far-reaching economic, agricultural and strategic implications of the deal, saying the government had not made any official statement or taken Parliament into confidence on its terms. “Despite the significant economic, agricultural, and strategic implications of these reported commitments, the Government has neither made an official statement nor taken Parliament into confidence,” he said.

He added that the country has a right to know the exact terms and conditions of the proposed trade agreement and stressed that it was imperative for the government to place all details before Parliament and the nation.

The US-India trade deal announced late Monday is expected to expand American farm exports into India’s market, supporting prices and channeling more income to rural America, US Secretary of Agriculture Brook Rollins said.

In a post on social media platform X early today, Rollins said, “New US-India deal will export more American farm products to India’s massive market, lifting prices, and pumping cash into rural America. In 2024, America’s agricultural trade deficit with India was $1.3 billion. India’s growing population is an important market for American agricultural products and today’s deal will go a long way to reducing this deficit.”

"Today marks a defining step forward in India-US economic relations as the trade deal is finalised with tariffs reduced to 18%, opening new avenues for growth and cooperation. My heartfelt congratulations to PM Narendra Modi and President Donald Trump for their leadership in securing this historic outcome. The agreement strengthens trust, boosts business confidence, and sets the stage for deeper trade, investment, and shared prosperity for both nations," he wrote.

As the India-US trade deal takes focus on the global stage, the Indian rupee is set to rally sharply at open on Tuesday, reports have said.

Smriti Irani posted: "A significant milestone ! Under PM Modi's leadership, India continues to strengthen its economic footprint and emerge as a global growth magnet. Stronger India–US ties will continue to drive growth, propel innovation, boost investment, and strengthen prospects of job creation, thereby reinforcing global confidence in Made in India."

"Thank you @POTUS for ONCE AGAIN delivering for our American farmers.

New US-India deal will export more American farm products to India's massive market, lifting prices, and pumping cash into rural America.

In 2024, America’s agricultural trade deficit with India was $1.3 billion. India’s growing population is an important market for American agricultural products and today’s deal will go a long way to reducing this deficit.

America First victory on top of the dozens of deals for ag"

Finance Minister Nirmala Sitaraman on Tuesday hailed the trade deal that has been agreed upon by India and US and said that it would be a "good news for Made in India products".

Taking to X, she wrote, "Good news for #MadeInIndia products. They will now face reduced tariff of 18%. Thanking the leadership of PM @narendramodi and @POTUS

for this development. People of our two large democracies stand to benefit."

Former Assistant US Trade Representative Mark Linscott on Monday (local time) welcomed the India-US trade deal, in which Washington reduced the tariffs on India to 18 per cent, saying that the agreement will help cement efforts by both countries to come closer economically.

Speaking to ANI following the announcement, Linscott said that his immediate response was one of relief and optimism.

"My first reaction was--'Wow! It's finally here'. It's taken too long, and I am glad we have got an announcement of a deal," he said.

Linscott noted that trade negotiators on both sides had been working towards an agreement for a long time and appeared close as early as July last year, before talks stalled, adding that it became clear the deal would require direct engagement between the two leaders.

US Chamber of Commerce says, "We congratulate the U.S. and Indian governments on their announcement to reduce tariffs and non-tariff barriers that will benefit American and Indian companies and workers in both great nations. We appreciate the efforts of President Trump and Prime Minister Modi, and their officials, including Ambassadors Kwatra and Gor. We are optimistic that this is the first step toward a comprehensive trade agreement that will unlock even more private sector collaboration, and we look forward to reviewing the details of the deal. The Chamber, our U.S.-India Business Council, and our members are strong champions of this effort, and we look forward to partnering with both governments to implement today’s announcement."

Maharashtra Chief Minister Devendra Fadnavis on Monday welcomed the India–US trade agreement, describing it as a milestone that opens “a new chapter of friendship” between the two countries. Reacting to the announcement, Fadnavis highlighted the personal rapport between Prime Minister Narendra Modi and US President Donald Trump as a key driver of the breakthrough.

“A New Chapter of Friendship! The historic trade agreement between India and the United States is truly a victory of the friendship between Hon. Prime Minister Narendra Modi ji and the President of the United States, Donald Trump,” he said. He added that India would now enjoy preferential tariff rates from the US among major global exporters, calling it a significant moment for global trade and bilateral ties.

"A big WIN for a consequential partnership under the leadership of Prime Minister Narendra Modi @narendramodi and President Donald Trump @POTUS India and USA announce trade deal creating vast new opportunities for the two economies and the people of our two great nations. Today’s announcements herald an exciting new phase in our partnership," Indian ambassador to the USA Vinay Mohan Kwatra, posted on X.

'A landmark moment for India-US relations as a historic trade deal has been finalised, bringing tariffs down to a significantly lower 18% and opening a new chapter of deeper and greater economic cooperation. I congratulate Prime Minister Narendra Modi and US President Donald Trump on reaching this decisive agreement, which will significantly strengthen our strategic partnership and deliver tangible benefits to both the countries and their people. With this agreement, India–US economic ties are set to reach new heights,' Union defence minister Rajnath Singh posted on X.

EEPC India on Monday welcomed the announcement of a trade agreement with the United States under which Washington will cut reciprocal tariffs on Indian goods to 18 per cent from the existing 25 per cent, saying the move could provide a major boost to engineering exports.

“While the detailed contours of the agreement are yet to be made public, the Prime Minister’s message clearly mentioned lower tariffs for Made in India products, which is very good news,” Shah said, noting that the United States remains India’s largest trading partner.

Earlier, US President Donald Trump said India and the United States had agreed on a trade deal that would see reciprocal tariffs on Indian goods reduced to 18 per cent from 25 per cent, following a phone conversation with Prime Minister Narendra Modi.

The engineering sector, which accounts for nearly one-fourth of India’s total merchandise exports, is expected to be among the biggest beneficiaries of the agreement.

BJP National President Nitin Nabin on Monday welcomed the latest development in India–US relations, describing it as “commendable.” In a tweet, he congratulated Prime Minister Narendra Modi, saying that under his leadership, “new opportunities are opening up for the youth of India.”

Highlighting the broader impact of the trade deal, Nabin said the strengthening ties between “the world's two most powerful democracies, India and the United States, will have a very positive and far-reaching impact.” He added that the decision would “give new momentum to the progress of the Indian economy” and boost the Aatmanirbhar Bharat and Make in India initiatives.

round $48.2 billion worth of India’s merchandise exports to the United States are now likely to face lower tariffs of 18 percent after both sides agreed to a trade deal on February 2. Read More

External Affairs Minister S. Jaishankar welcomed the bilateral trade announcements following the conversation between Prime Minister Narendra Modi and US President Donald Trump.

"Welcome the announcements on bilateral trade following the conversation between PM Modi and US President Donald Trump. This will create more jobs, spur growth and promote innovation in both economies. It will strengthen ‘Make in India’ endeavors and encourage trusted technology ties. The opportunities in our economic engagement are truly vast and we are confident of realizing them. A robust economic relationship is the strongest foundation for our strategic partnership," he posted on X.

Commerce Secretary Rajesh Aggarwal on Monday welcomed the India-US trade agreement, describing it as a landmark step that would drive growth and innovation for both countries. Reacting to the announcement, Aggarwal said, “This landmark trade deal will unlock shared prosperity, innovation and growth for two natural democratic partners. Congratulations to the people of India and the US."

India-US Trade Deal News Live: Amit Shah welcomed the India–US trade agreement, calling it a major milestone in bilateral relations

Amit Shah welcomed the India–US trade agreement, calling it a major milestone in bilateral relations as tariffs have been cut to 18 per cent.

India-US Trade Deal News Live: India–US trade deal is a historic turning point, says Piyush Goyal

Congratulating Prime Minister Narendra Modi and US President Donald Trump, Piyush Goyal said the deal reflects “the power of two like-minded, fair-trading democracies working together for shared prosperity.” (Read more)

Around $48.2 billion worth of India’s merchandise exports to the United States are now likely to face lower tariffs of 18 percent after both sides agreed to a trade deal on February 2.

The estimate is based on a projection provided by India’s Commerce Ministry in August 2025, which assessed the value of Indian exports that were facing steep 50 percent tariffs in the US. Read More

United States President Donald Trump has announced a significant shift in trade policy with India, unveiling a deal that reduces reciprocal tariffs on Indian goods to 18 per cent following a phone conversation with Prime Minister Narendra Modi. Read More

Announcing a trade deal with India following a telephonic conversation with Prime Minister Narendra Modi, US President Donald Trump on Monday outlined what he described as immediate and far-reaching decisions on trade, energy purchases and global peace efforts. Read More 

Market veteran Madhu Kela struck a distinctly upbeat note on India’s outlook, telling CNBC-TV18 that the rupee is already signalling strength and confidence is returning to markets. “The rupee has already been indicating it is coming closer to 90 to the dollar,” Kela said, adding that lingering concerns over whether India’s global relationships had “gone sour” have now been decisively laid to rest. “This puts that to bed,” he remarked. According to him, the improved sentiment could translate into some significant foreign direct investment announcements in the near term. With trade uncertainties easing and confidence rebuilding, Kela summed up the mood succinctly: “It feels like Diwali.”

“I applaud Prime Minister Modi and President Trump for today’s trade announcement. The reduced tariffs will help strengthen the strategic and economic ties between our two great countries and provide additional opportunities for investment and collaboration. The Aditya Birla Group is the largest Indian investor in the U.S., and we see this agreement help shape more resilient supply chains, unlock manufacturing opportunities, and drive long-term economic competitiveness in both the U.S. and India. We are committed to expanding our presence and investments in the U.S., where we see substantial opportunities for innovation, growth, and enduring partnerships,” said Kumar Mangalam Birla, Chairman, Aditya Birla Group. (Read more)

Minister for Railways, Information & Broadcasting, and Electronics & Information Technology, Ashwini Vaishnaw, described the recently announced India-US trade deal as a milestone for both nations in a post on X. “US and India are world’s largest democracies. Both countries are natural allies. Together, India and US have huge potential to work for peace and development,” he said.

Highlighting the strategic and technological synergies, Vaishnaw added, “US and India have complementary strengths. Both countries can co-create technologies and co-develop solutions that will benefit the world.”

On the economic impact, the minister emphasized, “Trade deal between US and India will lead to brighter future for both countries. India-US Trade deal is a win-win deal. Citizens and industries of both countries will benefit greatly from this deal.”

Shrimp Exporters | The US was the biggest market for Shrimp exporters and while they did manage to find other avenues for their products, particularly the European Union and China, the US remains their biggest destination. Stocks such as Avanti Feeds, Apex Frozen Foods, among others will be beneficiaries of this announcement.

Ace investor Madhu Kela told CNBC-TV18 that India’s recent trade breakthroughs could trigger a decisive turn in market sentiment. He expects a wave of foreign investors to return, with fresh FII inflows alongside steady domestic buying potentially driving markets significantly higher. “A lot of buying could come into Indian markets now,” he said, adding that even local investors who had been cautious may re-enter. Kela argued that concerns such as the STT hike are likely to fade in relevance, given the scale of the trade deals India has signed with the US and the EU. He described the backdrop as a “perfect setting” for equities. Companies hit by tariff overhang may see renewed action. Beaten-down mid- and small-cap stocks could bounce back, with possible buybacks in select names. Large, liquid firms and financials are also expected to attract strong foreign participation. He added that recent lows may well mark the Nifty’s bottom for the year.

“While services were never directly in the line of tariffs during the negotiations, IT stocks were the first to react amid concerns around H-1B visa talks. The sector then saw a surge as the rupee continued to weaken to fresh lows due to prolonged uncertainty on the India-US trade deal. A depreciating currency typically supports margins for IT companies. However, with the rupee now expected to strengthen following Tuesday’s announcement, the market will closely watch how stocks such as TCS, Infosys, HCLTech, Persistent Systems and Coforge respond to this development.”

The US–India trade agreement is a clear positive for Indian markets, says the Deputy Head of Research and Economist at Elara Capital.

As per US President Donald Trump’s Truth post, Washington has lowered the reciprocal tariff on India to 18% as part of the newly concluded deal. Based on Elara Capital’s estimates, the policy-implied effective tariff rate on India could fall to 14.1% if Russia-related tariffs are removed.

The revised 18% rate brings India broadly in line with peer economies that face tariffs of around 20%. A likely removal of the Russian oil-linked penalty would create a positive tariff differential for India, strengthening its competitive position in key export markets.

The brokerage views the development as immensely positive for Indian asset classes. While tariffs have not been fully dismantled, the policy trajectory is clearly constructive. Export-oriented sectors such as gems and jewellery, textiles and apparel, machinery and equipment, and automobiles are expected to be the primary beneficiaries.

The sharp depreciation of the currency after the announcement of the tariffs by the US is expected to pause after the US President Donald Trump on Sunday announced a trade deal with India that includes a significant reduction in reciprocal tariffs on Indian goods, lowering the rate from 25 percent to 18 percent, following a phone conversation with Prime Minister Narendra Modi. Read More

India has successfully concluded five major trade agreements over the past year, with the most recent being a bilateral trade pact with the United States, announced on February 2, 2026. Read More

India faces lower tariff rates than most of its South and Southeast Asian peers after India-US announced a trade deal on February 2, giving its exporters a relative cost advantage in key global markets even as several competing economies grapple with steeper trade barriers. Read More

Nisha Biswal, President and CEO of the US-India Strategic Partnership Forum (USISPF), described the recently announced India-US trade deal as “transformative” for the country’s economy and its ties with the Western world.

Speaking to CNBC-TV18, Biswal said, “This is a transformative deal for India’s economy and it’s relationship with the western world. This deal clears a lot of tension in the India-USA economic relationship. There is a growing convergence in the relationship of India-USA-EU despite some differences.”

"First the Mother of all deals with EU, now the Father of all deals with US – great achievement by PM Modi government! Patience pays, tweeted Harsh Goenka, chairman of RPG Enterprises," posts on X Harsh Goenka Chairman - RPG Enterprises.

Indian stock markets are likely to open a whopping 2.5% higher on February 3 as US President Donald Trump on February 2 said he had agreed on a trade deal with India, and that India also agreed to stop buying Russian oil and buy more from the United States and potentially Venezuela. Read More

After nearly six months of uncertainty, easing of US–India trade tensions has offered a major relief to India’s gems and jewellery sector, which counts the US as its largest export market, contributing about 30% of industry sales. Read More

It seems that Prime Minister Modi and President Trump spoke to each other today. This information has been provided not by the Indian side but by the US Ambassador to India.

This now seems to be the routine - India gets to know of its Govt’s actions only from President Trump or his appointees. Trump-nirbharta

As I have said many times, President Trump genuinely considers Prime Minister Modi a great friend! Thrilled by the news of the trade deal this evening. The relationship between the United States and India has LIMITLESS POTENTIAL!

India placed lower than Sri Lanka, Malaysia, Pakistan, Vietnam as trade deal reduces India tariff to 18%

Prime Minister Narendra Modi welcomed the India–US trade deal announced by President Donald Trump on Sunday, which lowers reciprocal tariffs on Indian goods from 25 per cent to 18 per cent following a phone conversation between the two leaders. Read More

US Ambassador Sergio Gor, in an exclusive interview with CNN-News18, described the recently announced India-US trade deal, cutting India’s tariffs from 50% to 18%, as marking a “new era of India-US relations. Read More

US President Donald Trump on Sunday announced a trade deal with India that includes a significant reduction in reciprocal tariffs on Indian goods, lowering the rate from 25 percent to 18 percent, following a phone conversation with Prime Minister Narendra Modi. Read More