India-US interim trade deal in 12 points: What does White House's joint statement say?

THe US and bharat feature unveiled a young fabric for an meantime Agreement, marking what both President Donald Trump and PM Modi described as a major step toward a comprehensive Bilateral Trade Agreement (BTA). This comes days after both leaders announced a trade deal, saying it ‘unlocks immense opportunities for mutually beneficial cooperation’.Trump said Monday that he plans to lower tariffs on goods from India to 18%, from 25%, after PM Modi agreed to stop buying Russian oil. “This will help END THE WAR in Ukraine, which is taking place right now, with thousands of people dying each and every week!” the president posted on Truth Social.Read More: India-US trade deal top points: Piyush Goyal highlights benefits amid Opposition criticismModi, in turn, said he looks forward to working with the US and Trump.“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,” he tweeted.On Friday, the White House released an India-US joint statement, revealing a 12-point framework. Both governments emphasized that the Interim Agreement will serve as a historic milestone, laying the foundation for a larger trade deal in the months ahead.Read More: Pakistanis fume over India's ‘better’ trade deal with US and lower tariffs: ‘Photo ops are useless’Key elements highlighted in the joint statement1. Tariff cuts by India on US goodsIndia has agreed to remove or reduce duties on all US industrial products as well as a wide variety of American agricultural and food items. These include sorghum for feed, dried distillers’ grains, fresh and processed fruits, tree nuts, soybean oil, and alcoholic beverages.2. Reciprocal tariff structure by the USUnder Executive Order 14257, the United States will apply an 18% reciprocal tariff on originating goods from India, covering categories such as apparel, leather, footwear, plastics, rubber, organic chemicals, decor, artisanal items, and machinery.3. Potential tariff removalsIf the agreement is finalized, the US will lift reciprocal tariffs on Indian exports like gems, diamonds, aircraft parts, and generic pharma listed in the annex to Executive Order 14346.4. Rollback of US national-security tariffsWashington will withdraw duties on certain Indian aircraft and aircraft components previously imposed under national-security proclamations affecting aluminum, steel, and copper imports.5. Preferential access for India in sensitive US sectorsIndia will receive tariff-rate quotas for specific automotive parts subject to US national-security tariffs, with potential negotiated outcomes for pharmaceuticals pending the Section 232 investigation.6. Market-access commitments on both sidesBoth countries intend to offer each other sustained preferential access in sectors deemed strategically important.7. Rules of origin safeguardsIndia and the US will craft rules of origin ensuring that the benefits of the agreement accrue primarily to the two economies, limiting third-country passthrough.8. Removal of non-tariff barriersIndia has committed to resolving long-standing barriers affecting US medical devices, easing restrictive ICT import licensing, and reviewing the acceptance of US or global standards for key products within six months of the agreement’s entry into force. Non-tariff barriers affecting US agricultural trade will also be addressed.9. Alignment on regulatory standardsBoth sides plan to initiate discussions on technical standards and conformity assessments to make compliance simpler for exporters.10. Flexibility clause for future tariff changesShould either country alter its tariffs after implementation, the other may adjust its commitments accordingly.11. Cooperation on economic security and technologyIndia and the US will strengthen their alignment on supply-chain resilience, investment screening, export controls, and actions that counter non-market trade practices by third countries. The two nations will also scale up trade and collaboration in emerging technologies, including GPUs and data-center hardware.12. Major Indian purchases of US goodsIndia intends to purchase $500 billion worth of US energy, aviation products, precious metals, technology goods, and coking coal over the next five years, significantly boosting bilateral trade volumes.