India-US Trade Pact: Catalyzing Economic Growth

A new India-US trade agreement reduces tariffs, promising economic growth and innovation. It aims to strengthen 'Make in India' and fortify strategic partnerships. Announced during External Affairs Minister Jaishankar's US visit, the deal follows dialogue between President Trump and Prime Minister Modi, emphasizing cooperation between the two largest democracies.

India and the US have announced a new trade agreement, which is expected to bolster economic growth and innovation in both nations. The deal, welcomed by India's External Affairs Minister S Jaishankar, was reached during a Washington-led ministerial meeting focused on the critical minerals supply chain.

The agreement lowers reciprocal tariffs on Indian goods entering the US from 25% to 18%, as announced by US President Donald Trump following discussions with Indian Prime Minister Narendra Modi. This move is expected to create jobs and boost India's 'Make in India' initiatives while strengthening technological and economic ties with the US.

Prime Minister Modi praised the tariff reduction, emphasizing the benefits of the collaboration between the world's largest democracies. The deal also includes India's commitment to significantly increase its purchases of American goods, including over $500 billion in energy and other products. Discussions also covered efforts to address the Russia-Ukraine conflict.

(With inputs from agencies.)