Overview
- India’s External Affairs Ministry said the 7 February joint statement remains the operative framework while both sides work to finalise the interim trade agreement.
- The White House updated its factsheet within a day, softening India’s $500 billion buying plan to “intends,” dropping “certain pulses,” and removing a claim that India would scrap its digital services tax.
- Despite the edits, the U.S. document still outlines broader U.S. market access to industrial and farm goods, while India’s joint statement limits red sorghum to animal feed, highlighting a wording gap under review.
- President Trump’s executive order rescinded a 25% punitive levy and set a reciprocal 18% tariff on Indian goods, with a monitoring mechanism that could restore penalties if energy-related conditions are judged to lapse.
- Commerce Minister Piyush Goyal said India will get Bangladesh-style zero-duty entry for garments made with U.S.-origin inputs, with specifics to appear in the interim pact’s fine print, as farmer and union protests continue over potential farm impacts.