US drops tariffs on Indian products
President Trump announced that the US and India had reached a new trade deal: the US is dropping tariffs on Indian products from 25% to 18%, while the announcement said India would open up its market for more American goods and commit to buying over $500 billion worth of US energy, agriculture, and tech.
The announcement came after a call between President Trump and PM Modi.
Positive impact on India-US trade ties
The announcement could give a real push to "Made in India" exports—think gems, textiles, and more—by making them cheaper in the US.
Modi called it a "wonderful announcement" on behalf of the 1.4 billion people of India.
It also helps both countries get closer to their big goal: hitting $500 billion in annual trade as part of India's "Mission 500."
Plus, smoother trade with the US could mean better deals with other countries too.