Desi Talk

www.desitalk.com – that’s all you need to know 10 SPECIAL REPORT February 13, 2026 interests,” adding: “Stay tuned for much more!” Jaishankar is currently in the US, where he’s held talks with Rubio on trade and supply chains. “This appears to conclude a difficult six-month period for US-India relations,” said Alexander Slater, former India head of the US-India Business Council. “It also adds to recent signals about where India’s economic future is likely headed” and “removes a key impediment to what had been India’s gradual but steady alignment with theWest.” Despite the rapprochement, India has reason to proceed cautiously with Trump, and is keen to assert its strategic autonomy. Modi’s viral moment with Xi and Putin, clasping hands and chuckling together, was meant to show Trump that it has other options, officials in New Delhi said. Modi rolled out the red carpet for Putin in December, showcasing ties with a country that remains an important source of weapons and diplomatic support dat- ing back to the ColdWar. Last week, Modi clinched a free trade pact with the European Union after almost two decades of talks, coming just months after India’s trade deal with the UK – deals that showed India was serious about diversifying its trade relationships in the face of the impasse with the US, ac- cording to an official aware of the details. Later this month, Modi will host Cana- da’s Mark Carney and Brazil’s Luiz Inacio Lula da Silva in New Delhi, further using Trump’s new world order to forge closer economic and political ties with so-called “middle power” countries. Still, the US remains a crucial partner for India, both as a market and as a source of investment. The nation ships about a fifth of its exports to the US, a large share of which are mobile phones and elec- tronic goods, sectors that are key to Modi’s manufacturing ambitions. US companies lined up big investment pledges in India in recent months, especially in AI, includ- ing a combined pledge of $52 billion by Amazon.com Inc. and Microsoft Corp. in December. Alphabet Inc.’s Google an- nounced $15 billion of investment in data centers in October. India is also becoming more important for the US financial industry. Goldman Sachs Group Inc. has its biggest office outside of NewYork in the southern In- dian city of Bengaluru, where it provides sophisticated IT and financial technology support to clients around the world. “The larger geopolitical factors or strategic factors that bind Indian and the US together are still in place,” said Milan Vaishnav, director of the South Asia Program at the Carnegie Endowment for International Peace. “India requires a great amount of capital, of investment, of technology transfer, investments. So the US is critical.” (This article appeared in TheWashington Post/Bloomberg syndi- cated service Feb. 5, 2026). Modi Adopted Strong Line To Clinch US Trade Deal; Sent Message Of India’s Resilience Through Doval - Continued From Page 9 Analysis: US, India Unveil Interim Trade Framework, Move Closer To Broad Pact T he United States and India moved closer to a trade pact on Friday, releasing an interim framework that would lower tariffs, reshape energy ties and deepen economic cooperation as both countries seek to realign global supply chains. The framework reaffirms a commitment to negotia- tions toward a broader bilateral trade agreement, the two governments said in a joint statement, while noting that further negotiations were needed to complete the pact. Separately, U.S. President Donald Trump in an execu- tive order removed the additional 25% tariff imposed on Indian goods for Russian oil purchases as New Delhi “committed to stop directly or indirectly importing” Rus- sian oil. However, U.S. officials will monitor and recommend reinstating the tariff if India resumes oil procurement from Russia, the order said, asWashington maintains pressure on India to restrict energy ties with Moscow. The India-U.S. joint statement did not mention India’s Russian oil purchases or a formal pledge from India to confirm the move. Trump announced a deal with India on Monday to cut U.S. tariffs on Indian goods to 18% from 50% in exchange for India halting purchases of Russian oil and lowering trade barriers. Half of the 50% rate had been imposed separately by Trump as punishment for India’s purchases of Russian oil, which he said were fuelling Moscow’s war effort in Ukraine. Trump signed an executive order on Friday rescinding that 25% portion after India agreed this week to shift its oil buying to the U.S. and Venezuela. However, the statement indicated that New Delhi re- sistedWashington’s push to broadly open its agricultural market. Trade Minister Piyush Goyal said the agreement safeguards farmers’ interests and rural livelihoods by “completely protecting sensitive agricultural and dairy products”. Imports of genetically modified agricultural products would not be directly allowed as there was no such provi- sion in the pact, while fruits like apples would allowed under a tariff quota, he said at a press briefing. On Russian oil, Goyal declined to comment, saying the foreign ministry would respond. India’s opposition Congress party, however, said the trade deal was concluded on U.S. terms and hurt farmers and traders, calling the pact a “complete surrender” of national interests. NEW DETAILS ON TARIFF REDUCTIONS Friday’s joint statement provides additional details compared with initial outlines of the trade deal revealed by Trump on Monday. It confirms that India will purchase $500 billion in U.S. goods over a five-year period, including oil, gas, cok- ing coal, aircraft and aircraft parts, precious metals, and technology products. The last category includes graphics processing units, typically used for AI applications, and other goods used in data centers. It said India would eliminate or reduce tariffs on all U.S. industrial goods and a wide range of U.S. food and agricultural products, including dried distillers’ grains and red sorghum for animal feed, tree nuts, fresh and processed fruit, soybean oil, wine and spirits. U.S. TO KEEP 18% TARIFF But the deal will apply an 18% tariff rate on most imports to the U.S. from India, including textiles and apparel, leather and footwear, plastic and rubber, organic chemicals, home decor, artisanal products and certain machinery. India will get the same tariff relief granted to other allied countries that have signed trade deals with the United States on certain aircraft and aircraft parts, and will receive a quota for auto parts imports that will be subject to a lower tariff rate, according to the statement. Depending on the results of the Trump administra- tion’s tariff investigation into pharmaceuticals and their ingredients, “India will receive negotiated outcomes with respect to generic pharmaceuticals and ingredients,” the statement said. Goyal hailed the framework agreement as opening a market worth $30 trillion – the U.S. annual GDP – to In- dian exporters, especially farmers, fishermen, and micro and small-to-medium enterprises. Goyal had said on Thursday thatWashington and New Delhi aimed to sign a formal trade agreement in March, after which India’s tariff cuts on U.S. exports would go into effect. ACCEPTING U.S. STANDARDS India also agreed to address longstanding non-tariff barriers on imports of agricultural products, medical de- vices and communications gear, with negotiations to be completed within six months on an agreement to accept U.S. or international safety and licensing standards for product imports. The U.S. affirmed that it intends to consider India’s requests for lower tariffs on Indian goods during further negotiations of the bilateral trade agreement. The two sides also agreed to cooperate on enforcement of export controls on sensitive technologies and take actions to address “non-market policies of third parties,” a reference to China. The United States and India have struggled for years to conclude a full trade deal, with disputes spanning agri- culture, digital trade, medical devices and market access. But strategic concerns — including competition with China, supply-chain diversification and energy security — have injected new urgency into talks, officials in both countries say. -Reuters By Jarrett Renshaw, David Lawder and Manoj Kumar PHOTO:REUTERS/ADNAN ABIDI/FILE PHOTO U.S. President Donald Trump and India’s Prime Minister Narendra Modi arrive for their joint news conference at Hyderabad House in New Delhi, India, February 25, 2020.