US Cuts Tariffs on Indian Goods from 25% to 18% After Trump–Modi Talks

The United States reduced tariffs on Indian goods from 25% to 18% following a phone call between President Donald Trump and Prime Minister Narendra Modi. The leaders discussed trade, economic cooperation, and strengthening ties between the world’s two largest democracies.

Post Published By: Manoj Tibrewal Aakash
Updated : 2 February 2026, 11:26 PM IST

New Delhi: U.S. President Donald J. Trump and Indian Prime Minister Narendra Modi spoke today in a high-level conversation that focused on trade, global security, and energy cooperation, marking another significant moment in India–US relations.

Tariff Reduction Announced by the United States

Shortly after the call, President Trump announced that the United States would reduce tariffs on Indian goods from 25% to 18%. The move is expected to provide relief to Indian exporters and improve market access for “Made in India” products in the US.

Increased Purchases from the US

President Trump further stated that India would significantly increase purchases of American goods, including energy, technology, agriculture, coal, and other products, as part of efforts to deepen economic cooperation.

Modi Welcomes Tariff Relief

Prime Minister Modi welcomed the tariff reduction, thanking President Trump on behalf of India’s 1.4 billion people. He said that President Trump’s leadership is vital for global peace, stability, and prosperity. India fully supports his efforts for peace. and highlighted the importance of cooperation between the world’s two largest democracies.

Stronger Ties Without a Formal Deal

While no formal trade agreement was announced, both leaders emphasized that the tariff reduction and broader discussions reflect growing momentum in India–US relations, with potential for deeper collaboration going forward.

Location : 
  • New Delhi

Published : 
  • 2 February 2026, 11:26 PM IST