New York, Feb 2 (PTI) The US-India Strategic Partnership Forum (USISPF) on Monday enthusiastically welcomes US President Donald Trump’s announcement following his conversation with Prime Minister Narendra Modi, which reaffirms their shared commitment to deepen the US–India economic partnership and advance a bilateral trade agreement.  India and the US agreed on a trade deal under which Washington will bring down the reciprocal tariff on Indian goods to 18 per cent from the current 25 per cent, US President Donald Trump announced on Monday in a Truth Social post.

USISPF said that the reduction of India's reciprocal tariff marks "an important and positive first step.”  “While the agreement's specifics are pending, today’s announcement signals strong political will on both sides to move toward a comprehensive US–India Bilateral Trade Agreement (BTA) that addresses tariffs, market access, non-tariff barriers, and other trade-related issues across a wide range of sectors,” it said.

A BTA between the two nations would deliver meaningful benefits for businesses, workers, and consumers in both countries, while strengthening supply chains and economic resilience, it added.  Both governments have made clear that this is only the beginning, with additional phases and negotiations anticipated in the months ahead.  "USISPF is encouraged by the constructive momentum generated by this announcement and remains optimistic about the scope and ambition of what lies ahead," it added.  It reiterated full commitment to working closely with both the Government of India and the US Government to advance the shared objective of expanding bilateral trade toward the USD 500 billion target.  A stronger US–India trade and investment relationship is not only critical to both economies but also central to advancing a stable, resilient, and rules-based Indo-Pacific, it said. PTI YAS RD RD RD RD

US India trade agreement announced reducing reciprocal tariffs to 18% and initiating phased talks toward a comprehensive BTA. A political commitment initiates negotiation of a Bilateral Trade Agreement (BTA) between the United States and India, beginning with a reciprocal tariff reduction on Indian goods from 25% to 18%. The announcement frames this as an initial step toward phased negotiations to address tariffs, market access, non-tariff barriers, and other trade-related issues across sectors, with objectives to strengthen supply chains, economic resilience, and pursue a bilateral trade and investment target of USD 500 billion.