The U.S. stated India will decrease tariffs on a “huge array” of American industrial and agricultural items, comparable to “fruits, greens”, to zero per cent below the commerce deal introduced by President Donald Trump.
The U.S. described this as a “huge win” whereas noting that India will proceed to manage “sure key areas” that take pleasure in safety.
“That is it. The time has come, and now we now have the deal. We’ll end papering it, however we all know the specifics. We all know the main points. It is a very thrilling alternative,” United States Commerce Consultant Jamieson Greer stated Tuesday (February 3, 2026) in an interview to CNBC Squawk Field.
Mr. Greer stated that the U.S. will proceed to take care of some stage of tariff in opposition to India — 18% — “as a result of we now have this large commerce deficit with them, however they’ve additionally agreed to scale back their tariffs for us on quite a lot of agricultural merchandise, manufactured items, chemical compounds, medical units, and so forth. It is an thrilling alternative for each international locations,” he stated.
Giving particulars of the deal, Mr. Greer added that with India proper now, on industrial items, the common tariff is about 13.5%.
“That is going to go to zero for nearly all the things. Once I say nearly, I imply 98-99%. On the agricultural aspect, there is a huge, huge array of agricultural items. So it’s going to go to zero,” he stated.
“India, like each nation on this planet, together with the US, has some safety round sure key areas the place they will proceed to manage that. We’ll proceed to work on entry. However for quite a lot of issues, tree nuts, wine, spirits, fruits, greens, and so forth, they are going right down to zero. It is a huge win,” Mr. Greer stated.
Individually, the USTR stated in a put up on X that “India will decrease tariffs on a wide selection of U.S. industrial and agricultural items to 0%. President Trump’s historic cope with India delivers unprecedented market entry for American farmers and producers.” On the non-tariff obstacles, he stated that eliminating tariffs is one factor, however typically, the non-tariff obstacles pose issues.
“So we now have an understanding and settlement with the Indians as effectively on quite a lot of technical obstacles to commerce areas the place they haven’t accepted U.S. requirements.”
“We all know American items are protected, we all know they’re efficient, and so forth. We have now efficient regulation within the U.S., generally too efficient. So we now have an settlement with them on a course of for recognising sure U.S. requirements. They clearly have their very own political concerns, and so they have their very own processes for accepting these requirements, however that is a key portion of this commerce settlement that ought to open up this market of over a billion folks to U.S. items,” Mr. Greer stated.
When requested about Delhi’s Russian oil purchases, Mr. Greer stated that previous to 2022-23, India actually did not import Russian crude.
“They took benefit of a scenario the place Russian crude was buying and selling at a reduction as a result of they could not get it to every other international locations due to sanctions. President Trump very precisely…put the Indians on discover that we view this as supporting the Russian warfare effort.”
“And beginning on the finish of final 12 months, the Indians began winding down their buy of Russian oil. We have been monitoring that. They have been diversifying purchases of vitality from the U.S., not simply oil, but in addition fuel, propane, and different issues. That is been going up. We’ll maintain monitoring that. Clearly, they need to diversify from different sources too, whether or not it is Venezuela or the Gulf, and so forth. There are a number of alternatives to do that. The Indians are making the proper selection,” Mr. Greer stated.
In a Reality Social put up on Monday (February 2, 2026), Mr. Trump had stated that, efficient instantly, the 2 sides agreed to a commerce deal below which the US will decrease its reciprocal tariff imposed on India from 25% to 18%. India may even transfer ahead to scale back its tariffs and non-tariff obstacles in opposition to the US to “zero”.
“The Prime Minister additionally dedicated to ‘BUY AMERICAN’, at a a lot increased stage, along with over $500 BILLION DOLLARS of U.S. Vitality, Know-how, Agricultural, Coal, and plenty of different merchandise.
“Our superb relationship with India shall be even stronger going ahead. Prime Minister Modi and I are two individuals who GET THINGS DONE, one thing that can’t be stated for many,” Mr. Trump stated.
U.S. Secretary of Agriculture Brooke Rollins additionally thanked Mr. Trump for “as soon as once more” delivering for American farmers.
“New US-India deal will export extra American farm merchandise to India’s large market, lifting costs, and pumping money into rural America,” Mr. Rollins had stated in a put up on X.
Noting that in 2024, America’s agricultural commerce deficit with India was $1.3 billion, she stated India’s rising inhabitants is an “essential market” for American agricultural merchandise and the deal will go an extended approach to lowering this deficit.
“America First victory on high of the handfuls of offers for agriculture,” Mr. Rollins had stated.
Revealed – February 04, 2026 10:31 am IST