New Delhi [India], February 5 (ANI): India and the United States have taken a significant step forward in strengthening bilateral trade ties, with fresh clarity emerging on tariff structures and export opportunities following high-level engagements between the two countries.

Spokesperson of the Ministry of External Affairs, Randhir Jaiswal, on Thursday said discussions around the India-US trade deal are progressing, and further updates will be shared as developments unfold.

The reduced tariff is expected to have a far-reaching impact on India's export sector, particularly for labour-intensive industries such as textiles, footwear, leather goods, and certain manufacturing segments.

'This trade agreement will give a major boost to our exports to the United States. It will be a major boost to the labour intensive industries here in India, create new job opportunities, growth and prosperity for our people,' Jaiswal said.

The government also sought to address any ambiguity surrounding the tariff figures, confirming that discussions with the US side have led to a clear and final number. 'Also, let me say that the US side has also clarified that the final figure of tariff is 18 percent,' Jaiswal added.

Addressing queries on the status of the trade agreement, Jaiswal indicated that the Commerce Minister Piyush Goyal has once again outlined key elements of the deal in his latest remarks. 'On India Us trade deal - Commerce Minister has given you some details in his statements again today. He has spoken about the various aspects relating to the trade. So I would request you to please look at those details that have been shared, and if there are further developments in this regard, we will let you know.'

Commerce Minister Piyush Goyal on Thursday asserted that there has been no investment commitment from India to the US, but it is natural that India may need to source more products from the US going ahead with the Viksit Bharat 2047 goal.'The fast paced growth at which India is going ahead in our journey in the Amritkal to Viksit Bharat 2047, we will need large volumes of energy, we will need large number of data centre equipments, ICT products, our steel capacity is going to double from today's 140 million tons to about 300 million tons in the next few years,' Piyush Goyal told reporters in the national capital.

A major highlight of the recent engagement was a telephone conversation between Prime Minister Narendra Modi and US President Donald Trump, which took place in the backdrop of a public statement by the US President on tariff adjustments.

In a post on Truth Social the US President wrote, 'It was an Honor to speak with Prime Minister Modi, of India, this morning. He is one of my greatest friends and, a Powerful and Respected Leader of his Country. We spoke about many things, including Trade, and ending the War with Russia and Ukraine. He agreed to stop buying Russian Oil, and to buy much more from the United States and, potentially, Venezuela. This will help END THE WAR in Ukraine, which is taking place right now, with thousands of people dying each and every week! 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%. They will likewise move forward to reduce their Tariffs and Non Tariff Barriers against the United States, to ZERO. The Prime Minister 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. 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. Thank you for your attention to this matter!'

The Prime Minister expressed appreciation for the decision to reduce reciprocal tariffs on Indian goods entering the American market.

'Wonderful to speak with my dear friend President Trump today. 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. 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. @POTUS @realDonaldTrump,' the PM tweeted on X.

'Prime Minister had a telephone conversation with President Trump. Post that call and post the tweet by President Trump. Prime Minister thanked President Trump for the reduction in reciprocal tariff. Prime Minister noted that made in India products will now be exported to United States at a reduced tariff of 18%,' Jaiswal also said. (ANI)