Washington, Feb 03 (V7N) — US President Donald Trump has announced a major trade agreement with India in which US tariffs on Indian goods will be reduced significantly after Indian Prime Minister Narendra Modi agreed to halt or reduce purchases of Russian crude oil, according to reports from Reuters and the Associated Press.

Under the new understanding, the United States will remove the additional punitive tariff tied to India’s prior oil purchases from Russia and lower the overall tariff rate on Indian products from a high effective level to about 18 percent.

Trump said the deal followed talks with Modi and praised India’s commitment to shift its energy imports, including increased purchases of US goods and energy. The tariff cut is framed as part of broader efforts to strengthen bilateral trade ties and support global economic cooperation.

The announcement also stated that India has agreed to boost imports of US products, including energy, agricultural goods and technology, potentially totaling billions of dollars, although details of the commitments are still emerging.

India’s official confirmation of the oil-sourcing commitment remains based on Trump’s statement, and independent government confirmation on the extent of Russia oil imports being halted has not yet been detailed in official Indian government releases.

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