India-US Trade Deal: Modi's Strategic Brilliance Secures Economic Boost

• India and the US unveiled an "Interim Agreement" on February 6, 2026, paving the way for a comprehensive bilateral trade agreement.
• The deal reduces US tariffs on Indian goods to a competitive 18% (weighted average 14.6%), opens markets for Indian exports, and safeguards sensitive sectors like agriculture and dairy.
• This pact, forged under PM Modi and President Trump, is a victory for India, boosting farmer incomes and positioning India favorably against regional hegemons.
• Bilateral trade has surged from $36 billion to over $200 billion by 2025, driven by India's IT, pharma, and textiles, and US demand for high-quality goods.
• The agreement includes zero duties on generics, gems, aircraft parts, steel, and copper, while India intends to purchase $500 billion in US goods over five years.