Washington, Feb 07 (V7N) – US President Donald Trump on Friday signed an executive order lifting an extra 25 percent tariff imposed on goods from India, marking a key step in implementing a trade agreement announced earlier this week.

According to the executive order, India has committed to stopping the direct or indirect import of Russian oil. The decision comes amid ongoing international pressure on Moscow over the war in Ukraine. The tariff removal will take effect at 12:01 am Eastern Time on Saturday.

The order also noted that India has agreed to increase purchases of US energy products and has entered into a framework with the United States to expand defence cooperation over the next decade.

The move follows Trump’s recent announcement of a broader trade deal under which Washington will reduce so-called reciprocal tariffs on Indian goods to 18 percent, down from the previous 25 percent. However, the timeline for implementing this reduced rate has yet to be announced.

A separate joint statement from the White House said the agreement includes the removal of tariffs on selected aircraft and aircraft parts. It added that India plans to purchase goods worth $500 billion from the United States over the next five years, including energy products, aircraft and parts, precious metals, technology items and coking coal.

The agreement represents a significant easing of trade tensions between the two countries, with overall US tariffs on Indian products now sharply reduced compared to late last year.

Observers say the deal restores momentum in US–India relations and gives Indian exporters a slight competitive advantage in the US market compared to some regional rivals.

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