India, Feb. 8 -- India and the US have reached a framework for an interim trade agreement (often referred to as an interim or mini trade pact), announced on Saturday. This builds on negotiations launched in February 2025 between US President Donald Trump and Prime Minister Narendra Modi, serving as a stepping stone toward a fuller bilateral trade agreement (BTA).

The US will apply a reciprocal tariff rate of 18% on a range of Indian-origin goods (down from 50% that included the now-removed additional 25% penalty tariff linked to India's Russian oil purchases). This covers sectors such as textiles and apparel, leather and footwear, plastics and rubber products, organic chemicals, home decor, artisanal products, and certain machinery. The ...