NEW DELHI, February 3, 2026 — Prime Minister Narendra Modi has officially welcomed a landmark trade agreement with the United States, announcing on social media platform X that tariffs on “Made in India” products will be significantly reduced to 18%.
Following a high-level phone conversation with U.S. President Donald Trump, the Prime Minister expressed his gratitude on behalf of India’s 1.4 billion citizens, describing the development as a “wonderful announcement” that marks a new chapter in bilateral relations.
This breakthrough follows a period of heightened trade tensions where Indian goods faced duties as high as 50%, with the new 18% reciprocal rate effective immediately.
Prime Minister Modi emphasized that the collaboration between the world’s two largest democracies would unlock immense opportunities for economic growth, while also praising President Trump’s leadership as vital for global peace and stability.
The agreement is expected to provide a major boost to Indian exporters in sectors like textiles, leather, and jewelry, as India simultaneously commits to expanding its purchase of American energy and technology.
