- The friendship between Trump and Modi was key to finalising the US-India trade deal
- The US reduced tariffs on Indian imports from 50% to 18% under the new agreement
- The trade pact aims to grow bilateral trade to $500 billion by 2030
The friendship between US President Donald Trump and Indian Prime Minister Narendra Modi was crucial for finalising the trade deal agreement between the two countries, according to American Ambassador Sergio Gor.
"The White House is paying attention to India, our President is paying attention to India. Thanks to the friendship that President Trump has with PM Modi, we were able to get the trade deal," the US envoy said at a reception hosted at his residence in New Delhi on Monday.
The comments come a week after New Delhi and Washington achieved the crucial breakthrough, after negotiating the trade deal since early 2025. Under the pact, the US has reduced tariffs on Indian imports from 50% to 18% with immediate effect. The two countries aim to accelerate their trade partnership to $500 billion by 2030 through the trade agreement.
The deal announcement, on Feb. 2, came following a telephonic conversation between Modi and Trump. After the phone call, the latter took to social media to confirm the agreement. The US president also noted that India would be buying American products "at a much higher level", and would "stop" buying Russian oil.
ALSO READ: India-US Interim Trade Agreement: Full List Of Items That Now Have 0% Tariff
Commerce Minister Piyush Goyal and External Affairs Minister S Jaishankar were among the attendees at the reception hosted by Gor. Goyal, while speaking at the event, credited the US ambassador for the successful culmination of the trade talks. "I must place on record, the trade deal would not have been possible but for his (Gor) support, his personal leadership to the entire engagement. Thank you very much, Sergio, for all that you have done to further strengthen this bond between the US and India," he said.
Notably, Goyal took over as the US envoy to India in January. After taking charge, he had immediately extended the official invite to India to become a full-time member of Pax Silica, a US-led strategic initiative to build a secure, resilient, and innovation-driven silicon supply chain.
ALSO READ: India-US Trade Deal Timeline: From 50% Cliff To 18% Relief — The Long Road To The Trade Pact
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