U.S. Envoy to ‌India Sergio Gor with U.S. ⁠Trade Representative Jamieson ‌Greer. Credit: X/@USAmbIndia

The U.S. views the Quad (Quadrilateral Strategic Dialogue comprising India, the U.S., Japan, and Australia) as a “very important platform,” according to S. Paul Kapur, the top Trump administration diplomat for the South and Central Asian region.

“… The Quad is a very important platform. It has done well,” Assistant Secretary Kapur told the U.S. House Foreign Affairs Subcommittee on South & Central Asia on Wednesday (February 11, 2026), characterising India as an “active” and “important” participant.

The U.S. and India were looking to expand defence exercises and interoperability following the signing of their latest ten-year defence cooperation framework (October 2025), according to Mr. Kapur.

“We also have some potential purchases of weapon systems in the pipeline that will help India to protect itself better and ensure its sovereignty. Also (this) will create American jobs (and) be good for both sides,” he said.

In addition to trade, the Trump administration was deploying targeted investment, diplomacy and defence cooperation to build strategic capacity in the region, as per Mr. Kapur, who drew a causal link between the recent completion of a U.S.-India trade deal and fresh momentum in the relationship.

“Following the trade framework President Trump reached last week with Prime Minister Modi, we can now focus on other shared priorities, lowering barriers to trade with one of the largest economies in the world, and opening the way to even more fulsome cooperation,” he told the handful of lawmakers at the hearing in Washington D.C.

Despite the uncertainties around trade, India and the U.S. were moving forward on “most axes” of the relationship, according to Mr. Kapur.

Opinion | India-U.S. trade deal is a blow to India’s strategic autonomy

On energy, Mr. Kapur said that India had been reducing its purchases of Russian oil and “diversifying away” from it. ”…Which is what we wanted them to do,” he added.

“And they’ve (India) actually been buying more U.S. energy. And that’s, I think, a promising possibility… to substitute some U.S. energy for the Russian energy…and buying from other places around the world too, of course,” he added.

Pakistan-U.S. working on critical mineral resources together: Kapur

The Trump administration official characterised Pakistan as “another important partner” in the region.

“We are working together with Pakistan to realise the potential of its critical-mineral resources,” he said, adding that energy and agricultural trade was expanding and counter-terrorism cooperation was ongoing.

On the February 12 elections in Bangladesh, Mr. Kapur said it was a “great thing” and that the U.S. was “very optimistic” about it, as it was about Nepal, which is expected to hold general elections in early March.

He characterised the change in Nepal and Bangladesh as “youth movements overthrowing older governments and now creating the opportunity for democratic participation”.

“So with Nepal, we also trust that we’ll have a secure and peaceful … electoral process, and we’re prepared to work with whoever wins,” he said.

At one point in the hearing, Mr. Kapur said that a dominant and hostile power in South Asia was not desirable for America.

“A hostile power dominating South Asia could exert coercive leverage over the world economy. The United States must prevent this from happening and keep the region free and open,” he said, adding that the U.S. needed to cooperate with partners. There were multiple references to China during the approximately one-hour-long hearing, which also exposed the different attitudes across Members of Congress towards the Trump administration’s handling of the India-U.S. relationship.

During the hearing, Representative Ami Bera, an Indian American Democrat from California, stated that he had been in India at the end of September 2025, just after Mr. Trump had imposed a 50% tariff and a $100,000 fee on some H-1B visas. He explained that from the perspective of the U.S. Congress, “nothing had changed” regarding a “three-decade strategy” that dates back to President Bill Clinton.

India strategic piece of puzzle in stabilizing the Indo-Pacific: Ami Bera

“We see India as a strategic piece of the puzzle in stabilising the Indo-Pacific. They (Indians) still see that. We see the economic relationship,” Mr. Bera said, adding that he was “cautiously optimistic” about the trade deal.

 Mr. Kapur agreed that the strategy with regard to India had transcended Republican and Democrat administrations.

Mr. Bera asked Mr. Kapur to “push” India to use its diplomatic lines of communication with Moscow to assist the Trump administration in bringing peace to Ukraine.

India did not have to “go far afield to support our (U.S.) strategic interests”, according to Mr. Kapur.

“An independent, strong, prosperous India takes a big swath (swathe) of the Indo-Pacific away from China and that is actually a strategic win for us,” he added. Mr. Kapur was responding to Keith Self, a Texas Republican, who had asked what India was doing to counter China’s Belt and Road Initiative.

During the hearing, Mr. Kapur had said the U.S. goal was not to keep China out of the region but to prevent China or any hegemon from taking over the region or using its coercive leverage over the region.

Ranking Member of the committee, Sydney Kamlager-Dove, a Democrat, asked Mr. Kapur if he thought there were any preconditions that had to be addressed before the U.S. agreed to participate in the Quad Leaders Summit. Mr. Kapur did not address this part of her question.

Ms. Kamlager-Dove also said she was concerned that the Quad was mentioned just twice in the 2025 National Security Strategy of the Trump Administration. (It is, in effect, mentioned only once in the Strategy, in its full form  and in the abbreviated form).

India is supposed to host the Quad Summit this year.

The Democrat described the 50% tariff on India as causing a “needless rupture” in ties that delayed the Quad Summit and “sacrificed decades of painstaking trust-building” between India and the U.S.

She said Mr. Trump insisting he was responsible for a ceasefire in the four-day war between India and Pakistan in May 2025 and offering to mediate on Kashmir, overshadowed the role of U.S. diplomacy.

Ms. Dove pushed Mr. Kapur on protections for Afghans resettled in the United States and criticised the Trump administration’s policies on Afghanistan and Afghans, focusing on the status of women and girls. Chair of the Committee Bill Huizenga (Republican) criticised the Biden administration’s chaotic withdrawal from Afghanistan in 2021, calling that a “true betrayal” of America’s Afghan allies.

Russian Foreign Minister Sergei Lavrov. fILE
| Photo Credit: Reuters

File picture of U.S. President Donald Trump and Prime Minister Narendra Modi.
| Photo Credit: AP

The joint statement on a US-India framework trade agreement will likely be published in the next 2-3 days, fleshing out more details of the deal announced by US President Donald Trump on Monday. In several cases, India also get the zero tariffs, according to government sources. The data centre itself will fetch $20 billion.

ALSO READ: Budget 2026: Big Push For Growth, Jobs And A New Tax Era To Power Viksit Bharat

On plans to halt Russian oil purchases, government official said India’s government believes in diversifying its sources of energy. The government doesn’t dictate to companies where to buy oil, and if they wanted to purchase sanctioned Russian oil, it’s their decision to do so, the official said.

Goyal on Tuesday said India has got a very good trade deal with the US, better than competitors, without compromising interest of the agriculture and dairy sectors.Without giving details of what has been agreed with Washington, Goyal said the trade deal is in the final stages, and an Indo-US joint statement will be issued shortly detailing the contours of the agreement.

India-US trade deal will open huge opportunities for the poor, fishermen, farmers and youth of the country, Goyal said. This trade deal with the US is a good omen for India’s bright future, the commerce minister added. Goyal said that as part of the deal, the reciprocal tariff on Indian goods will come down to 18 per cent from 50 per cent.

Commodities falling under Section 232 of US trade law are likely to remain outside the scope of the India-US landmark trade deal that reduces tariffs to around 18%, though India is hopeful of securing concessions under the provision at a later stage, a government source said.

The source added that India and the US have reached an understanding on the agreement, and a joint statement outlining the broad contours of the deal is expected within the next two to three days.

Section 232 allows the US President to impose tariffs or quotas on imports deemed a threat to national security. Steel, aluminium and copper currently face tariffs of nearly 50% under the provision, while certain auto components attract tariffs of around 25%. These levies are expected to continue even as broader tariff reductions come into force under the new trade arrangement.

“Section 232 has been imposed on several countries, including India. While these tariffs are likely to continue for now, India may receive some concessions at a later stage,” a highly placed source said.

India and the US announced the landmark trade deal on Monday night, under which tariffs on a wide range of Indian exports are expected to be reduced from 50% to about 18%, providing relief to several labour-intensive and export-oriented sectors.

ALSO READ: India-US Deal Took 12 Months And Six Formal Meets, But Was Worth The Wait

According to sources, the agreement includes a $500-billion commitment over five years, covering merchandise purchases across sectors such as aircraft, data centres, LPG, coking coal, gold, textiles, leather and jewellery. However, the five-year timeframe was not explicitly outlined by US President Donald Trump in his social media announcement on Monday evening.

Sources indicated that investments in data centres alone could account for nearly $20 billion, while some measures announced in the Union Budget 2026 are also understood to be part of the broader trade understanding.

On the issue of zero tariffs, sources said India is also expected to receive zero-tariff access in several categories, pointing to a more balanced outcome than initially perceived.

Speaking during a press briefing at New Delhi, Commerce and Industry Minister Piyush Goyal said labour-intensive sectors were particularly upbeat about the agreement. He noted that fishermen and seafood exporters are among those expected to benefit and that the deal would open up multiple new opportunities for Indian businesses.

Goyal added that the agreement would strengthen India-US ties, including cooperation in high-technology sectors, and described the outcome as best deal than trade arrangements secured by peer economies such as Bangladesh, Indonesia and Vietnam. He said the 18% tariff level was achieved after months of negotiations, despite several sticking points.

The minister emphasised that India had successfully navigated these challenges, while ensuring that the interests of farmers and the dairy sector remain protected.

ALSO READ: India To Import Goods Worth $500 Billion From US In Five Years, Joint Statement In 2-3 Days

The Russian government have said they haven’t received any information from India indicating that they plan to stop buying Russian oil, after US President Donald Trump claimed India agreed to do so as part of a trade deal with Washington. “So far, we haven’t heard any statements from New Delhi on this matter,” Kremlin spokesman Dmitry Peskov told reporters on Tuesday. 

Trump on Monday announced on his social media platform ‘Truth Social’ that Prime Minister Narendra Modi promised to halt oil purchases from Russia in exchange for reduced US tariffs. 

Reuters quoted the Kremlin saying, “Our strategic partnership with India is most important.” Peskov added that there has been no official communication suggesting any change in energy cooperation and spoke about Moscow’s intent to continue developing ties with India.

“We respect bilateral US-Indian relations,” Peskov said. “But we attach no less importance to the development of an advanced strategic partnership between Russia and India. This is the most important thing for us, and we intend to further develop our bilateral relations with Delhi.” 

US-India Trade Deal 

On Monday, Trump announced a trade deal with India that cuts US tariffs on Indian goods to 18% from 50%, in exchange for India putting a stop to Russian oil purchases and reducing trade barriers. Trump said India would now buy oil from the US and potentially Venezuela. 

“Out of friendship and respect for Prime Minister Modi and, as per his request, effective immediately, we agreed to a Trade Deal between the United States and India, whereby the United States will charge a reduced Reciprocal Tariff, lowering it from 25 per cent to 18 per cent,” Trump posted. 

India’s History With Russian Oil 

India imports around 1.5 million barrels of Russian crude per day, over one-third of its total imports. India is the second-largest buyer of Russian oil. The Indian Government has defended these imports, calling them essential for the country’s energy security. 

Historically, India’s relationship with Russia focused more on defence than energy. After the Russian invasion of Ukraine, India increased purchases of discounted Russian oil, helping its energy supply while supporting Russia’s economy. 

In December 2025, Russian President Vladimir Putin said during a visit to New Delhi that Russia was ready to continue “uninterrupted shipments” of fuel to India despite US pressure. 

Will India Now Buy Oil From Venezuela? 

Top Indian government sources also said the trade deal does not compromise the interests of Indian farmers. India will continue buying crude oil from countries not under sanctions. Sensitive sectors like soybean and dairy will remain protected. 

ALSO READ | India-US Trade Deal: From Laptops To Dairy – Here’s What Gets Cheaper In India

The announcements by both U.S. President Donald Trump and Prime Minister Narendra Modi that the U.S. will reduce “reciprocal” tariffs on India from 25% to 18% are a major relief to Indian exporters, and indicate relations between the two countries are on the mend, after a year of severe tensions.

India-U.S. trade deal LIVE

A U.S. Embassy spokesperson also confirmed that a 25% penalty tariff imposed on India last August, which had pushed total tariffs to 50%, the highest on any country in the world along with Brazil, has now been dropped. 

“Out of friendship and respect for Prime Minister Modi and, as per his request, effective immediately, we agreed to a Trade Deal between the United States and India, whereby the United States will charge a reduced Reciprocal Tariff, lowering it from 25% to 18%,” Mr. Trump announced first, adding in a lengthy social media post, that India had agreed to several measures, including stopping Russian oil imports, reduce tariffs and non-tariff barriers “to Zero”, and buying U.S. goods including energy of more than $500 billion.

In his response, Mr. Modi did not refer to any of the conditions mentioned by Mr. Trump, nor did he give details of the trade deal.

“Delighted that Made in India products will now have a reduced tariff of 18%. Big thanks to President Trump on behalf of the 1.4 billion people of India for this wonderful announcement,” Mr. Modi said in a post. “When two large economies and the world’s largest democracies work together, it benefits our people and unlocks immense opportunities for mutually beneficial cooperation,” he added.

The move on slashing U.S. tariffs, which was made during External Affairs Minister S. Jaishankar’s visit to Washington to attend a Critical Minerals Ministerial meeting, and a few weeks after U.S. Ambassador Sergio Gor arrived in Delhi, came after a telephone call between the two leaders, and has been welcomed by both governments and business chambers in both countries. 

“Our amazing relationship with India will be even stronger going forward. Prime Minister Modi and I are two people that GET THINGS DONE, something that cannot be said for most…” Mr. Trump continued.

However, several differences remain between Mr. Trump’s version of the agreement and Mr. Modi’s version, which will need to be reconciled.

1.     Where is the U.S.-India trade deal? 

Mr. Trump’s reference to a trade deal leaves it unclear whether he is referring to a deal over cutting reciprocal tariffs or to the larger “first tranche” of the India-U.S. Free Trade Agreement (FTA) that has been negotiated between trade teams after PM Modi’s visit to Washington in February 2025. As a result of the FTA, both sides were expected to drop tariffs, but no details of the FTA, which includes tariffs and non-tariff barriers, market access and investments, have thus far been released by either government. Unlike the EU-India FTA concluded last week, the contours of the final India-U.S. agreement, the negotiated text, have not been disclosed.

Further, Mr. Trump’s claim that India would “reduce Tariffs and Non-Tariff Barriers against the United States, to ZERO”, has not been confirmed by New Delhi, nor has there been an explanation on which lines would reduce to zero. In addition, the question over market access especially in agricultural sectors like soyabean and dairy, which India has been reluctant to open, remains unanswered. In January, U.S. Commerce Secretary Howard Lutnick had said that a deal had been prepared months ago, but couldn’t be implemented as he claimed PM Modi didn’t make a telephone call to Mr. Trump to clinch it. The MEA had denied the claim. 

2.     Will 18% resolve India’s disadvantage in the region?

The reciprocal tariff rate imposed by the U.S. in April 2025 of 25% had been a double blow for Indian exporters because it was higher than its regional rivals, Bangladesh and Vietnam (20%), Pakistan (19%) and China (34%, but much of it was delayed until November 2026). The new reciprocal tariff rate of 18% is thus a welcome step, in particular for apparel manufacturers, and gems and jewellery exporters who had been the worst hit by the tariffs.

3.     What happens to India’s imports of Russian Oil?

In his post on Monday (February 2, 2026), Mr. Trump said that PM Modi had “agreed to stop buying Russian Oil, and to buy much more from the United States and, potentially, Venezuela”, adding that this would help end the war in Ukraine. The MEA has not responded to requests for comment on this issue. While the government insists that it has no part to play in these commercial decisions, Mr. Trump’s statement that PM Modi had agreed to cutting Russian oil contradicts it.

In a statement on August 6, 2026, the MEA spokesperson had issued a statement slamming U.S. penalty tariffs of 25% for India’s purchase of Russian oil, calling them “unfair, unjustified and unreasonable”, and asserting that oil imports are based on “market factors” with the objective of ensuring energy security for Indians. India’s purchase of Russian oil, that reached a peak in 2024, continued unabated for the next few months. However, in October, Indian refiners began to cut Russian Ural oil orders, about 38% from the previous year in October, and then in December.

“India’s Russian crude imports recorded a sharp 29% month-on-month reduction to the lowest volumes since the implementation of the price cap policy,” European Centre for Research on Energy and Clean Air (CREA) said. On January 6, 2026, Reliance Industries, one of India’s biggest refiners, said in a statement that it would not receive any oil from Russia in January 2026, and had not received any Russian oil in the last three weeks. 

4.     Is India bowing to U.S. sanctions? 

In 2019, India had similarly “zeroed out” its imports of Iranian and Venezuelan oil, after Mr. Trump had threatened sanctions, and sent U.S. Ambassador to the UN Nikki Haley to Delhi to publicly press the point. After the kidnapping of Venezuelan President Maduro by U.S. forces in January this year, Mr. Trump has indicated the U.S. would “allow” countries to import Venezuelan oil. This may be a relief for India, but raises questions over its autonomy on important strategic decisions like energy procurement. 

The U.S. has also threatened to impose 25% tariffs on countries “doing business” with Iran, which includes India, and has decided to withdraw its sanctions waiver on Indian investment in Iran’s Chabahar port. Government sources indicated India is prepared to give up its “minimal levels” of trade with Iran rather than face more tariffs. The Union budget presented on February 1 also shows no allocation for Chabahar in the upcoming year, indicating the Modi government is preparing to back away from the 23-year project, at least until the threats of U.S. sanctions ease.

5.     How much has India committed to investing in the U.S.?

In his post, Mr. Trump said that Mr. Modi also “committed to “BUY AMERICAN,” at a much higher level, in addition to over $500 BILLION DOLLARS of U.S. Energy, Technology, Agricultural, Coal, and many other products”. Mr. Trump had similarly claimed that the European Union, Japan and several others had committed to investments of over $500 billion as well, after announcing trade deals with them. The MEA declined to comment on whether such a commitment has been given, but the size of the figure indicates this is meant to be done over several years, and with multiple sectors involved. Remember, India-U.S. bilateral trade in goods stands at about U.S. $131 billion, and India’s investment in the U.S. has hovered around U.S. $40 billion.

India gets tariff relief from the U.S. — What does it mean?

U.S. President Trump and PM Modi announce U.S. tariff rates have been slashed to 18%.
| Video Credit:
The Hindu