By Admin 
India US Trade Deal: The long standing trade deal between India and America was finally sealed late on Monday night. After this agreement, the uncertainty created between the financial markets and exporters has ended to a great extent. America has now reduced the total high tariff imposed on India from 50 percent to 18 percent. Along with this, it has also been announced to completely abolish the additional 25 percent tariff imposed on purchasing crude oil from Russia.
Trump announced the deal
US President Donald Trump informed about this decision through his social media platform ‘Truth Social’. He said that this reduction in tariff will be implemented with immediate effect. After this, Prime Minister Narendra Modi while reacting on ‘X’ called it a big achievement for ‘Made in India’. He said that it is a matter of happiness that the duty on Indian products has been reduced to 18 percent and for this he expressed gratitude to President Trump on behalf of the 1.4 billion people of India.
Prime Minister Modi said that when the world’s two largest economies and the largest democracies work together, the common people directly benefit from it and new opportunities for mutual cooperation open up. Describing President Trump’s leadership as important for global peace, stability and prosperity, he also reiterated India’s full support to peace efforts.
In this sequence, the US State Ministry informed that America will welcome delegations from different countries in the first important mineral ministerial meeting. The objective of this meeting is to strengthen and diversify the supply chain of critical minerals, so that the resources necessary for technological innovation, economic strength and national security can be secured.
What are you waiting for now?
Although this deal is being strongly welcomed after Trump’s tariff announcement, its official and detailed agreement has not been made public till now. In such a situation, many of its aspects are being understood on the basis of signals and statements rather than written documents. This gap between celebration and actual clarity is believed to be the real story of this entire trade deal.
Despite this, this relief is considered very important for Indian exporters who have been bearing the burden of high tariffs for the last two years. According to Harsh Gupta Madhusudan, Fund Manager, Ionic Asset Management, this announcement will reduce the huge pressure on companies in sectors like textile, auto components and gems and jewellery, due to which their competitive position and business prospects may improve.