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Trump Rescinds Punitive Tariff on India over Purchases of Russian Oil

The U.S. removed a 25% tariff on Indian imports after India pledged to stop buying Russian oil and agreed to cut tariffs on U.S. industrial and agricultural products.

  • On February 7, 2026, President signed an executive order to eliminate the 25 per cent tariff on Indian goods entered after 12.01 am EST under Executive Order 14329.
  • After tariffs were imposed in August last year, the White House said India committed to stop importing Russian Federation oil and to purchase United States energy products.
  • The joint statement says the U.S. will lower reciprocal tariffs and remove duties on aircraft parts, create an auto parts quota, while India will remove tariffs on U.S. industrial goods and food products.
  • U.S. agencies will monitor compliance and the order warns tariffs could be reimposed if India resumes Russian oil imports, according to the executive order.
  • The interim deal is framed as a step toward a broader trade pact, and the executive order authorises Secretary of State Marco Rubio to act under IEEPA to implement it.
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The framework document for the interim trade agreement between India and the United States has been released. Under this document, the United States has removed the extra 25% tariff imposed on India on oil purchases from Russia and reduced the reciprocal tariff from 25% to 18%, effective February 7th.

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US President Donald Trump has lifted additional tariffs on goods from India that he imposed in August over India's oil imports from Russia. The executive order removing the tariffs takes effect today.

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Reuters broke the news in United Kingdom on Friday, February 6, 2026.
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