Modi Welcomes India-US Interim Trade Framework, Thanks Trump for ‘Robust Ties’

Prime Minister Narendra Modi on Saturday welcomed the finalisation of the interim trade framework between India and the United States, calling it “great news for India and USA” and thanking US President Donald Trump for his “personal commitment to robust ties” between the two countries.

In a statement on X, Modi said the agreement reflects the “growing depth, trust and dynamism” of the bilateral partnership and would strengthen the Make in India initiative by creating new opportunities for farmers, entrepreneurs, MSMEs, startups, innovators, and fishermen.

“This framework reflects the growing depth, trust and dynamism of our partnership. It strengthens ‘Make in India’ by opening new opportunities for India’s hardworking farmers, entrepreneurs, MSMEs, StartUp innovators, fishermen and more. It will generate large-scale employment for women and youngsters,” he said.

The Prime Minister’s remarks followed a joint statement issued earlier in the day by New Delhi and Washington, formally unveiling the interim framework for the long-awaited trade deal announced earlier this month.

Modi said the agreement would help build resilient and trusted supply chains and contribute to global economic growth.

“As India moves forward towards building a Viksit Bharat, we remain committed to building global partnerships that are future-oriented, empower our people and contribute to shared prosperity,” he added.

Bridge to Comprehensive Trade Pact

The interim framework marks the culmination of months of negotiations aimed at easing trade frictions and expanding market access on both sides. It includes reciprocal tariff cuts and sector-specific commitments and is designed to serve as a bridge toward a comprehensive Bilateral Trade Agreement (BTA).

Trump Removes Penalty Tariffs

Alongside the announcement, President Trump signed an executive order removing the 25 per cent penalty tariff imposed on Indian goods. The US administration linked the rollback to India’s commitments on energy purchases and strategic alignment.

Trump reiterated his claim that India had agreed to stop importing Russian oil “directly or indirectly” and to increase purchases of US energy products.

Responding to these remarks earlier, Ministry of External Affairs spokesperson Randhir Jaiswal said India’s energy policy prioritises national security and economic stability.

“Ensuring the energy security of 1.4 billion Indians remains our supreme priority,” Jaiswal said. “Diversifying energy sourcing in line with market conditions and evolving international dynamics is at the core of our strategy.”

The interim trade deal is expected to deepen economic ties and pave the way for a broader long-term agreement between the two countries.