US president Donald Trump has announced a reduction on tariffs on Indian imports from a punitive 50% to 18%. He called prime minister Narendra Modi late Monday (India time) and then announced the decision on social media. Trump said India would now stop buying oil from Russia and will procure it from the US. The announcement ends weeks of uncertainty and turbulence in the bilateral relations. 

Modi has welcomed the move. “Wonderful to speak with my dear friend President Trump today. Delighted that Made in India products will now have a reduced tariff of 18%. Big thanks to President Trump on behalf of the 1.4 billion people of India for this wonderful announcement,” Modi wrote on X. 

“When two large economies and the world’s largest democracies work together, it benefits our people and unlocks immense opportunities for mutually beneficial cooperation. President Trump’s leadership is vital for global peace, stability, and prosperity. India fully supports his efforts for peace. I look forward to working closely with him to take our partnership to unprecedented heights.”

At this early stage, the details of the much-awaited "trade deal" were not available.