Trump says US-India trade deal lowers reciprocal tariffs to 18% after call with PM Modi

US President Donald Trump on Monday claimed that the United States and India have agreed to a trade deal that would see reciprocal tariffs reduced from 25% to 18%, following what he described as a conversation with Prime Minister Narendra Modi.

In a post on his social media platform Truth Social, Trump said the discussions covered trade, energy purchases and the war between Russia and Ukraine. He claimed that PM Modi agreed to reduce India’s dependence on Russian oil and instead increase purchases from the United States and potentially Venezuela — a move Trump said would help pressure Moscow and contribute to ending the Ukraine conflict.

According to Trump, the agreement would lower US reciprocal tariffs on Indian imports to 18%, while India would move ahead with reducing its tariffs and non-tariff barriers on American goods to zero.

He also claimed that India committed to buying over $500 billion worth of US energy, technology, agricultural products, coal and other items, positioning the deal as a major boost for American exporters.

Tariffs have long been a sensitive issue in US-India trade relations, with Washington previously using higher duties as leverage over market access and energy policy. Trump’s latest claim frames tariff reductions as part of a broader geopolitical and economic strategy linking trade, energy security and the Ukraine war.

However, there has been no official confirmation from the Indian government regarding the call, the tariff changes or commitments on Russian oil purchases. New Delhi has consistently maintained that its energy and trade decisions are driven by national interest and market considerations.