India-US Trade Deal Highlights: Trump aide claims India committed to end Russian oil purchase, Jaishankar meets Rubio

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Piyush Goyal said that the agreement will open huge opportunities for Indian labour-intensive sectors, such as textiles, plastics, apparel, home decor, leather and footwear, gems and jewellery, organic chemicals, rubber goods, machineries and aircraft.

Commerce Minister Piyush Goyal said that as soon as the final understanding of the deal is inked, joint statement is finalised and technical processes completed, details will be shared.

India is now buying "dramatically" less Russian oil, US Senator Lindsey Graham claimed on Tuesday, asserting that tariffs imposed by US President Donald Trump on Delhi for its purchases of oil from Moscow are a "good example" of how things can change.

MSMEs, Engineering, Auto components, Electrical parts, Textiles, Gems and Jewellery, Leather and footwear, Marine goods, Plastics, Apparel, Home decor, and Organic chemicals sectors are set to gain from the India-US trade deal.

Commerce and Industry Minister Piyush Goyal said that the sensitive sectors of India's economy, particularly agriculture and dairy, have been protected in the India-US trade deal.

"As you all saw yesterday, the President struck another great trade deal with India. He spoke with Prime Minister Modi directly; they share a very good relationship. India committed to not only no longer purchasing Russian oil but also buying oil from the United States, and perhaps also from Venezuela, which we know will now have a direct benefit on the United States and the American people," Karoline Leavitt said.

A central government official told Reuters that India would gradually ramp up purchases of US petroleum, aircraft, defence and telecom goods and pharmaceuticals as part of the deal, which includes a multi-year commitment to buy $500 billion in American goods.

White House Press Secretary Karoline Leavitt on Tuesday claimed that India has committed to ending its purchases of Russian oil and will instead source crude oil from the US, potentially from Venezuela under the trade deal.

Leavitt stated that following direct talks between President Donald Trump and Prime Minister Narendra Modi on Monday, New Delhi agreed not only to halt purchases of Russian oil but also to increase imports of American energy.

She added that India may also consider buying oil from Venezuela, a move she said would benefit the American economy.

External Affairs Minister S Jaishankar and US Secretary of State Marco Rubio on Tuesday committed to expand "bilateral and multilateral cooperation" through the Quadrilateral Security Dialogue (Quad) during their meeting ahead of the Critical Minerals Ministerial and welcomed the recently announced India-US trade deal, in which Washington reduced the tariff on Indian goods to 18%.

Although the Indian government has put agriculture and dairy under sectors which need to be protected, the farmers' union industry body claimed the deal will allow the US to flood the Indian markets with highly subsidised agricultural products, destroying the country's farm sector.

“The SKM strongly condemned the betrayal of the people, especially farmers, by the Modi government allowing zero per cent import tariff on US goods, surrendering to the pressure of US Imperialism,” said Samyukta Kisan Morcha, cited the news agency PTI.

Prerna Jhunjhunwala, Vice President – Research, Textiles and Retail at Elara Capital, said that the India-US trade deal will sharply improve tariff competitiveness for Indian textile and apparel exporters in the US market.

“This is a major positive development for the Indian textile and apparel sector. At 18% tariff, Indian exporters now have the most favourable tariff position among all competing textile exporting countries to the US, with Pakistan/Indonesia at 19% and Bangladesh/Vietnam/Sri Lanka at 20%,” said the expert.

Company stocks that are set to be in focus —

• Arvind Ltd
• KPR Mill Ltd
• Gokaldas Exports Ltd
• SP Apparels Ltd
• Indo Count Industries Ltd
• Welspun Living Ltd

Amitt Nenwani, Managing Director, Shivtek Spechemi Industries Ltd, said that the India-US trade deal is set to provide relief in landed costs, which will allow for aggressive capture of market share.

“The slashing of reciprocal tariffs to 18% is a turning point for Indian Speciality Chemicals. By removing the punitive 50% ‘cliff’ linked to Russian energy, this deal restores our global cost leadership. The immediate relief in landed costs allows us to aggressively capture market share from Chinese competitors while securing superior margins on long-term contracts. This isn't just a policy shift; it's our launchpad for 2026,” said Nenwani.

In an interview with CNBC on Tuesday, 3 February 2026, US Trade Representative Jamieson Greer said that the Trump administration is working on papering the trade agreement with India, after the President's agreement with Prime Minister Narendra Modi.

“We'll finish papering it, but we know the specifics, we know the details,” Greer told the news portal. He also said that India is maintaining some protection around agricultural goods.

Union Commerce Minister Piyush Goyal said that full details of the trade deal will be shared as soon as both parties are done with the technical processes and the final understanding of the deal is inked.

Union Commerce Minister Piyush Goyal, on 3 February 2026, launched a scathing attack on Opposition parties over the criticism of the India-US trade deal and said that the pact is in the final stages of detailing between the negotiating teams.

Read more: Here's what Minister Goyal said

Union Commerce Minister Piyush Goyal said that sectors like MSMEs, Engineering sectors like auto components, electrical parts, textile, gems and jewellery sector, leather goods are among others that are set to get numerous opportunities through this deal.

“I believe that through this deal, our MSMEs, our engineering sector, all the players in our engineering sector—whether they manufacture auto components, electrical parts, or work on selling various types of engineering goods in America, or plan to do so in the future—our textile sector, our gems and jewelry sector, our leather goods sector, our marine goods sector, will all get numerous opportunities through this deal…” said Goyal.

The trade deal between India and the United States will open huge opportunities for poor fishermen, farmers and youth, said Commerce Minister Piyush Goyal.

Union Commerce Minister Piyush Goyal, clarifying to industry talk, said that the announcement of the trade deal along with the tariff cuts came first from the side of the United States, as the western nation was the first to impose the reciprocal tariffs on world nations, including India.

“I believe this trade is a milestone for India's future,” said Goyal during the press address.

Union Commerce Minister Piyush Goyal said that sectors like MSME, Semiconductors, Critical Minerals, and high-performance data centres in the Technology sector are among others which are set to benefit from the India-US trade deal.

“PM Modi has concluded long-awaited trade deal with US, entire nation is congratulating him,” said Commerce Minister Piyush Goyal.

Piyush Goyal started his address to the media on the India-US trade deal. Starts off by thanking Trump's move to cut the tariffs for India.

Union Finance Minister Nirmala Sitharaman on Tuesday, 3 February 2026, said that Donald Trump's tariff cut announcement is ‘good news’, but the details of the same are yet to be announced and worked out.

“It's very good news. So it's a reduction in tariff. But the details will have to be announced and worked out. But at the moment, it is a reduction in the tariff,” FM Sitharaman told the news agency PTI.

After President Donald Trump announced the “trade deal” and tariff cuts, Prime Minister Narendra Modi said that he is looking forward to working closely with the US leader as both economies aim to benefit the people and unlock immense opportunities through mutual cooperation.

“When two large economies and the world’s largest democracies work together, it benefits our people and unlocks immense opportunities for mutually beneficial cooperation. President Trump’s leadership is vital for global peace, stability, and prosperity. India fully supports his efforts for peace. I look forward to working closely with him to take our partnership to unprecedented heights,” said Modi in his post on X.

Union Minister of Commerce and Industry, Piyush Goyal, is set to brief the media shortly on the key details of the India-US trade agreement, reported the news agency ANI on 3 February 2027.

After Trump's tariff cuts to 18% for the reciprocal rates, Rudra Kumar Pandey, Partner at Shardul Amarchand Mangaldas & Co., said that the United States' move to reduce tariffs on Indian goods marks a ‘clear de-escalation in bilateral trade frictions’ reflecting aligned strategic intent on both sides.

“The move reinforces India’s export-competitive posture, supported by recent customs duty rationalisation, and comes amid a broader U.S. supply-chain recalibration away from China,” said the expert.

The expert also highlighted that if India potentially imports $500 billion of goods from the United States, then this move will be part of a broader tariff-reset package and underscores the strategic balance of the deal.

“The announcement that India could import up to $500 billion of goods from the United States forms an explicit part of the broader tariff-reset package and underscores the strategic balance of the agreement,” said Pandey.

Ministry of Commerce and Industry data shows that India exports nearly 13.34% of its total items to the United States, making America the largest export market for Indian traders.

On Monday, 2 February 2026, US President Donald Trump cut the reciprocal tariffs on India to 18% with immediate effect, from earlier 25% levels.

However, no announcement has been made from either side on the additional tariffs of 25% which were imposed after 25% reciprocal tariffs on India for buying Russian oil.

Effective Monday, the tariff reduction from the raging 50% total duty on India will now come down to 43%, until further update from either of the countries.

On the additional tariffs and Russian oil, Trump claimed that India has reportedly agreed to ‘stop buying Russian Oil’ and buy more from the United States. Yet there is no official confirmation from the Indian authorities.