NEW DELHI: Finance Minister Nirmala Sitharaman on Tuesday welcomed the reduction in United States' tariffs on Indian goods, describing the development as a major boost for the 'Made in India' initiative.
Taking to social media platform X, the finance minister said that Indian products would now face a reduced reciprocal tariff of 18 per cent.
"Good news for #MadeInIndia products. They will now face reduced tariff of 18%. Thanking the leadership of PM @narendramodi and @POTUS for this development. People of our two large democracies stand to benefit," she said in a post on X.
The breakthrough follows a high-level telephonic conversation between Prime Minister Narendra Modi and US President Donald Trump.
In a reciprocal move, India has committed to reducing trade barriers for American goods and significantly increasing imports across sectors, including energy, technology, and agriculture.
Following the trade agreement announcement, Prime Minister Narendra Modi said he was delighted that "Made in India products will now have a reduced tariff of 18 per cent".
"Wonderful to speak with my dear friend President Trump today. Delighted that Made in India products will now have a reduced tariff of 18 per cent. Big thanks to President Trump on behalf of the 1. 4 billion people of India for this wonderful announcement," Modi said.