Exterior Affairs Minister S. Jaishankar on Tuesday (February 3, 2026) welcomed the India-U.S. commerce settlement, saying it’ll spur development in each economies and strengthen the nation’s ‘Make in India’ endeavours.
India-U.S. commerce deal LIVE
Mr. Jaishankar, who’s on a three-day go to to the U.S. to attend a Washington-led ministerial assembly on essential minerals provide chain, stated he “welcomed the bulletins on bilateral commerce”.
India and the U.S. agreed to a commerce deal beneath which Washington will carry down the reciprocal tariff on Indian items to 18% from the present 25%, U.S. President Donald Trump stated on Monday (February 2, 2026) after a telephone dialog with Prime Minister Narendra Modi.
“This may create extra jobs, spur development and promote innovation in each economies. It is going to strengthen ‘Make in India’ endeavors and encourage trusted know-how ties,” Mr. Jaishankar stated in a submit on X.
“The alternatives in our financial engagement are actually huge, and we’re assured of realising them. A strong financial relationship is the strongest basis for our strategic partnership,” he added.
Union Dwelling Minister Amit Shah known as this “a giant day for India-U.S. relations”, congratulating each Mr. Modi and Mr. Trump for this “historic deal.”
“I congratulate PM @narendramodi and President @realDonaldTrump for this historic deal, which can elevate our strategic partnership and enormously profit each nations and their folks,” he famous in a submit on X.
“Enterprise between India and U.S. set to flourish additional,” Mr. Shah added.
Union Minister Ashwini Vaishnaw stated that India and U.S. collectively have large potential to work for peace and improvement.
“U.S. and India are world’s largest democracies. Each nations are pure allies. Collectively, India and U.S. have large potential to work for peace and improvement,” Mr. Vaishnaw stated, taking it to X.
“U.S. and India have complementary strengths. Each nations can co-create applied sciences and co-develop options that can profit the world. Commerce deal between US and India will result in brighter future for each nations,” he added.
He additionally stated that that residents and industries of each nations will profit enormously from this deal.
Following the commerce settlement announcement, PM Modi stated he was delighted that “Made in India merchandise will now have a decreased tariff of 18%”.
“Great to talk with my pricey buddy President Trump at present. Delighted that Made in India merchandise will now have a decreased tariff of 18%. Large because of President Trump on behalf of the 1.4 billion folks of India for this excellent announcement,” Mr. Modi stated.
Congress chief Jairam Ramesh stated that President Trump appears to have leverage over Prime Minister Modi.
“He [Mr. Trump] introduced the halt of Op Sindoor from Washington DC. He introduced the updates on India’s oil purchases from Russia and Venezuela from Washington. He’s now introduced an India-U.S. Commerce Deal from Washington, the complete particulars of that are awaited,” Mr. Ramesh stated in a submit on X.
“President Trump clearly appears to have some leverage over Prime Minister Modi – who’s now mortified of even being seen with him, not to mention interact within the common bout of hugs,” the Congress chief added within the submit on X.
“It seems Mr. Modi has capitulated lastly. Absolutely this can’t be the daddy of all offers. In Washington, clearly Mogambo Khush Hai,” Mr. Ramesh additional stated.
President Trump stated India will transfer ahead to scale back “tariffs and non-tariff obstacles” towards the US to zero, including New Delhi would purchase American items, together with vitality, price greater than $500 billion.
“Out of friendship and respect for Prime Minister Modi and, as per his request, efficient instantly, we agreed to a commerce deal between the USA and India, whereby the USA will cost a decreased reciprocal tariff, decreasing it from 25% to 18%,” the U.S. president stated on social media.
India will “likewise transfer ahead to scale back their tariffs and non tariff obstacles towards the USA, to zero”, he stated.
Mr. Trump stated Mr. Modi additionally dedicated to purchase American items at a a lot larger stage, along with over $500 billion {dollars} of US vitality, know-how, agricultural, coal, and lots of different merchandise.
“Our superb relationship with India will probably be even stronger going ahead. Prime Minister Modi and I are two those that get issues performed one thing that can’t be stated for many,” he stated.
The Modi-Trump telephone talks got here on a day EAM Jaishankar travelled to Washington DC.
(With inputs from PTI)
Revealed – February 03, 2026 07:53 am IST