US–India Trade Deal Being Put on Paper; Zero Tariffs Planned on Several US Farm Products
04 February 2026, Washington: The Trump administration is finalising the details of its trade agreement with New Delhi, with the framework now being put down on paper, US Trade Representative Jamieson Greer said on Tuesday.
Under the proposed arrangement, Indian tariffs on American industrial goods will be reduced to zero from the current average of 13.5 percent, with several duties set to be eliminated. At the same time, India will retain certain protections for agricultural imports.
Greer said the United States would continue discussions on gaining access to some protected segments of India’s agriculture sector. However, he added that tariffs on a range of products including tree nuts, wine, spirits, fruits and vegetables are expected to be brought down to zero as part of the agreement.
From India, Union Minister of Commerce and Industry Piyush Goyal said that the proposed trade agreement with the United States will not dilute India’s core agricultural and dairy interests. He emphasised that the concerns of farmers have been fully safeguarded and that sensitive sectors will continue to receive protection.
The minister noted that the agreement is expected to create significant opportunities for labour-intensive sectors including textiles, apparel, leather, and gems and jewellery. He also said the deal would help India gain access to advanced technologies and innovation, while ensuring that domestic producers are not adversely affected. According to Goyal, the agreement is designed to strengthen India’s economy in a manner that benefits the country as a whole.
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