Trump Removes 25% Tariff on India in Trade Deal Linked to Russian Oil

President Donald TRUMP has eliminated an additional 25% tariff on Indian goods after India agreed to reduce its reliance on Russian oil and strengthen trade and defense ties with the United States. The move marks a pivotal step in implementing a new trade deal announced earlier this week following discussions between Trump and Indian Prime Minister Narendra Modi.

The WHITE House confirmed the tariff removal in an executive order, citing India's commitment to halt direct and indirect oil imports from Russia. In exchange, India will increase purchases of U.S. energy products and enhance defense collaboration over the next decade. The revised tariffs, effective February 7, lower the overall duty on Indian goods to approximately 18%.

This decision provides significant relief for India, which faced tariffs as high as 50% on key exports since last summer—the steepest rates imposed on any major Asian trading partner. Trump acknowledged India's cooperation on reducing Russian oil imports as a key factor in the tariff reduction.