The United States and India have announced a framework for an Interim Agreement on reciprocal and mutually beneficial trade, a move seen as a major step forward in negotiations toward a broader US–India Bilateral Trade Agreement (BTA).
The talks were originally launched by US President Donald J. Trump and Prime Minister Narendra Modi in February 2025, according to a joint statement issued by the White House and India’s Commerce Ministry.
Describing the development as a landmark moment in bilateral ties, the joint statement said the proposed Interim Agreement would “represent a historic milestone” in the partnership between the two countries. It added that the framework reflects a shared commitment to balanced and reciprocal trade anchored in mutual interests and tangible outcomes.
Separately, the White House announced the removal of additional tariffs imposed on Indian goods following India’s agreement to halt imports of Russian oil. Confirming the decision, the White House said India had committed to stopping both direct and indirect imports of oil from the Russian Federation and would instead increase purchases of US energy products.
“India has committed to stop directly or indirectly importing Russian Federation oil, has represented that it will purchase United States energy products from the United States, and has recently committed to a framework with the United States to expand defense cooperation over the next 10 years,” the White House said.
Under the order, goods from India entering the United States on or after 12:01 a.m. Eastern Standard Time on February 7, 2026, will no longer be subject to the additional 25 per cent ad valorem duty imposed under Executive Order 14329. The White House further stated that tariff provisions listed under specific headings of the Harmonised Tariff Schedule of the United States would be terminated, and that any refunds of duties already collected would be processed in accordance with US Customs and Border Protection procedures.
Earlier, the Kremlin responded to the development by stating that India remains free to procure oil from any source. Kremlin spokesperson Dmitry Peskov said Russia was not India’s sole supplier of oil and petroleum products. “India has always purchased these products from other countries. Therefore, we see nothing new here,” he said.
