After almost 12 months of strained negotiations marked by escalating tariffs, stalled discussions and disputes over energy sourcing, India and the United States reached a new trade agreement in early February 2026. Throughout 2025, talks were hampered by disputes over reciprocal duties and India’s purchase of Russian oil, with U.S. tariffs on Indian goods rising to 50% at one point amid diplomatic friction. Multiple negotiation rounds, phone calls between leaders and diplomatic engagement eventually led to a breakthrough, resulting in tariffs cut to 18% and renewed cooperation, signalling a thaw in ties after a year of setbacks. (PC: Reuters)

Under the recently announced India–US trade agreement, Washington has cut tariffs on Indian goods to 18%, down from as high as 50% previously, by rescinding punitive levies and revising reciprocal duties. This lower rate now stands below tariffs faced by regional competitors such as Pakistan (19%), Bangladesh and Vietnam (20%), and China (34%), giving Indian exporters a competitive edge in the US market. The deal is expected to boost “Made in India” exports, support economic growth, and deepen bilateral ties, although exact implementation details are still awaited. (PC: X)

India and the United States have announced a landmark trade agreement that cuts U.S. tariffs on Indian goods to 18%, a move expected to ease long-standing trade tensions and bolster Indian exports. U.S. President Donald Trump and Prime Minister Narendra Modi welcomed the deal, which lowers barriers hit by previous high tariffs. Commerce Minister Piyush Goyal said the pact will unlock unprecedented opportunities for farmers, MSMEs, entrepreneurs and skilled workers, support Make in India and Design in India initiatives, and help India access advanced U.S. technology. The deal aims to strengthen bilateral economic ties and boost global competitiveness. (PC: India Today)

Prime Minister Narendra Modi welcomed US President Donald Trump’s decision to cut tariffs on Made in India goods to 18%. The earlier rate was 25%. The announcement followed a phone call between the two leaders. Modi called the conversation “wonderful” and thanked Trump for the tariff relief. He said the step would support Indian manufacturing and exporters. In his statement, Modi said cooperation between the two countries would unlock “immense opportunities for mutually beneficial cooperation.” He also said the partnership between the two large economies benefits their people. Modi added that he looks forward to working closely with Trump to deepen India–US trade ties. (PC: X)

US President Donald Trump said a new trade pact with India has been agreed after his phone call with Prime Minister Narendra Modi. He announced that tariffs on Indian goods will drop from 50% to 18% with immediate effect. The White House and US envoy Sergio Gor also confirmed the lower tariff rate. Trump said India agreed to stop buying Russian oil and to purchase over $500 billion worth of US goods. India has confirmed the tariff cut but has not detailed other claims. Modi said he was “delighted” and thanked Trump for reducing duties on “Made in India products” to 18%. (PC: HT)

US President Donald Trump spoke with Prime Minister Narendra Modi on Monday, confirmed by American Ambassador Sergio Gor, who posted "STAY TUNED…" alongside a 2020 photograph of both leaders. This marks their first publicly confirmed conversation in 2026, following their December 11 discussion on bilateral relations and global peace. Trump simultaneously shared India Gate's image on Truth Social, calling it a "beautiful triumphal arch" amid his Washington DC monument plans, and posted an India Today magazine cover featuring both leaders as "The Mover & The Shaker." The call coincides with External Affairs Minister S. Jaishankar's US visit for critical minerals discussions with Secretary Marco Rubio. 

Donald Trump expressed his desire to build an India Gate-inspired triumphal arch in Washington DC, sharing India Gate's image on Truth Social with the caption: "India's beautiful triumphal arch; ours will be the greatest of all." Trump plans a 250-foot-tall "Independence Arch" by the Potomac River to commemorate America's 250th independence anniversary this year. The proposed structure would dwarf the Lincoln Memorial (100 feet) and White House (70 feet). Trump rejected smaller 165-foot and 123-foot designs, wanting an "everlasting impression." However, his ambitious two-month construction timeline appears unlikely, as final designs haven't been submitted for federal review, and the Memorial Circle site requires National Park Service approval. (PC: India Today)

Air India grounded a Boeing 787-8 aircraft after pilots reported a possible fuel control switch defect on Monday's London-Bengaluru flight. The LEFT engine fuel switch failed to lock in RUN position during start, moving toward CUTOFF risking inadvertent mid-flight shutdown. This incident evokes the June 12 Air India Flight 171 crash from Ahmedabad to London that killed 260 people, where both engine fuel switches moved to CUTOFF after takeoff. Air India notified DGCA and involved Boeing's manufacturer for priority inspection. The airline had previously inspected all Boeing 787 and 737 fuel switches following DGCA directives after the fatal crash. Safety remains top priority, both companies stated. (PC: HT)

India refuses to recognize proceedings by The Hague's Court of Arbitration under the Indus Waters Treaty, declaring the entire exercise illegitimate. Following the April 2025 Pahalgam terror attack that killed 26 civilians, India placed the 1960 treaty "in abeyance," linking water cooperation to Pakistan's terrorism. The court ordered India to produce hydroelectric plant logbooks for February hearings, but New Delhi won't participate, calling the court "illegally constituted." Pakistan, whose agriculture depends 80-90% on Indus waters, has launched ten legal actions and international lobbying. India maintains disputes belong with a neutral expert, not arbitration, rejecting Pakistan's "forum shopping" while keeping the treaty suspended. (PC: AFP)

A derogatory remark about Indians by former Norwegian diplomat Terje Rød-Larsen surfaced in newly released Epstein files. The alleged email, dated December 25, 2015, stated: "When you meet an Indian and a snake, kill the Indian first!" The comment was reportedly made in response to a message forwarded by Jeffrey Epstein from an Indian politician. Rød-Larsen previously served as president of the International Peace Institute and UN envoy, resigning in 2020 after his Epstein connections emerged. The US Justice Department released over three million pages related to Epstein, referencing numerous influential figures including tech executives, financiers, and foreign dignitaries. All named individuals deny involvement in Epstein's crimes. (PC: Reuters)