February 3, 2026
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India-US trade pact preserves sensitive agriculture and dairy protections while lowering many US tariffs to 18%.
A bilateral India-US trade framework reduces US tariffs on many Indian labour intensive and manufactured exports to an effective 18 percent and removes a 25 percent punitive tariff tied to Russian oil purchases, while explicitly excluding sensitive agricultural and dairy sectors (including dairy, rice, wheat, meat, poultry, cereals, GM foods, soymeal and maize). India will grant duty concessions mirroring other FTAs-some eliminations on entry into force, phased reductions, tariff cuts and quota based concessions-and the pact includes reported procurement commitments by India to import large volumes of US goods over a multi year period.