United States (US) cuts reciprocal tariff on Indian goods from 25% to 18%.

Key facts

• The United States (US) reduced the reciprocal tariff on imports from India from 25% to 18% effective immediately.
• India agreed to cut its tariffs and non-tariff barriers on US goods to zero.
• US President Donald Trump announced the trade deal after a phone conversation with Prime Minister Narendra Modi.
• India committed to stop buying Russian oil and increase purchases from the United States and potentially Venezuela.
• The White House stated the additional 25% tariff imposed over Russian oil purchases will be dropped.
• WTI crude oil futures fell more than 4.5% to around $62.2 a barrel on Monday.
• External Affairs Minister S. Jaishankar is visiting Washington for discussions on critical minerals.
• Union Minister Piyush Goyal stated negotiations for closing the trade deal are progressing quickly.