White House Releases Joint Statement on India–U.S. Interim Trade Deal
On Friday, February 6, 2026, the White House released a Joint Statement from India and the United States announcing a framework for an interim trade agreement between the two countries. The statement reaffirmed the commitment of both sides to continue negotiations toward a broader bilateral trade agreement (BTA), which was officially launched by U.S. President Donald Trump and Indian Prime Minister Narendra Modi on February 13, 2025.
According to the joint statement, India will eliminate or reduce tariffs on all U.S. industrial goods and a wide range of U.S. food and agricultural products. These products include dried distillers’ grains (DDGs), red sorghum for animal feed, tree nuts, fresh and processed fruits, soybean oil, as well as wine and spirits, among others. This move is expected to significantly enhance market access for American exporters in the Indian market.
The statement further noted that both countries are committed to providing each other with preferential market access in mutually beneficial sectors on a sustained basis. This initiative aims to strengthen trade ties and create a predictable trading environment.
On the U.S. side, reciprocal tariffs on Indian goods will now be set at 18%, reduced from the previously proposed rate of 25%. Additionally, President Trump issued an executive order rescinding the 25% tariffs imposed on India for its purchase of Russian oil. This follows India’s commitment to cease all direct or indirect imports of oil from the Russian Federation and to increase purchases of U.S. energy products.
The executive order also includes a warning that the additional tariffs could be reinstated if India resumes importing Russian oil. It states that if such imports resume, senior U.S. officials—including the Secretaries of State, Treasury, Commerce, and Homeland Security, along with trade and national security advisers—will review the situation and recommend whether to reintroduce the 25% additional duty on imports from India.
President Trump also emphasized India’s recent commitment to a framework for expanding defense cooperation with the United States over the next 10 years, describing it as a key element of the evolving strategic partnership between the two countries.
The joint statement comes just days after Union Commerce and Industry Minister Piyush Goyal indicated that India and the U.S. would finalize and sign the interim trade agreement within four to five days. External Affairs Minister S. Jaishankar had previously stated that the details of the agreement were expected to be announced soon.
This interim trade framework is seen as a significant step toward deepening economic engagement between India and the United States, while also paving the way for a comprehensive bilateral trade agreement in the future.
