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    India to Stop Buying Russian Oil, Commit $500 Billion Investment in US Under New Trade Deal: White House

    3 months ago

    The White House on Tuesday said India has committed to ending its purchases of Russian oil and will invest $500 billion in the United States as part of a newly announced bilateral trade agreement.

    White House Press Secretary Karoline Leavitt said Prime Minister Narendra Modi made the commitments during discussions with US President Donald Trump, describing the agreement as a major win for American workers and businesses.

    Speaking to reporters, Ms. Leavitt said India would stop buying Russian oil and instead source more crude from the United States, with possible purchases also coming from Venezuela. She added that the shift would directly benefit the American economy and energy sector.

    In addition to changes in oil imports, Ms. Leavitt said Prime Minister Modi committed to $500 billion in investments in the US across key sectors, including transportation, energy and agriculture. She credited President Trump’s direct engagement with securing the deal.

    Earlier, in an interview with Fox News, Ms. Leavitt said President Trump and Prime Minister Modi had a “very productive” phone call, highlighting their strong personal rapport and mutual respect. She reiterated that India agreed to stop purchasing Russian oil and significantly increase purchases of American energy and other products.

    According to the White House, the agreement also includes a reduction in US tariffs on Indian goods to 18%, down from an earlier effective rate of 50% that included a punitive levy linked to India’s Russian oil imports. At the same time, American exports to India will face zero tariffs, a move the Trump administration says will boost US competitiveness.

    President Trump, in a post on Truth Social, said India had agreed to reduce both tariffs and non-tariff barriers against the United States to “zero” and would significantly increase purchases of US energy, technology, agricultural products and coal.

    Prime Minister Modi welcomed the tariff reduction, calling it a positive step for Indian exporters. He said the move would benefit “Made in India” products and strengthen economic cooperation between the world’s two largest democracies.

    “When two large economies work together, it unlocks immense opportunities for mutually beneficial cooperation,” Mr. Modi said, adding that India looks forward to taking its partnership with the US to new heights.

    The trade deal has sparked political debate in India, with opposition parties seeking greater clarity on its terms, even as the government has described it as a major boost to trade, investment and strategic ties between New Delhi and Washington.

     
     
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