The White House has hailed a landmark India-US trade deal as a historic victory, with Deputy Press Secretary Kush Desai praising it effusively on social media platform X.

In a post, Desai described US President Donald Trump as the "Dealmaker in Chief" for securing an agreement with India, a fast-growing economy ranking among the world's top five and home to over one billion people.

He emphasised that the pact represents another triumph for American workers, farmers, and industries.

India's Ambassador to the US, Vinay Mohan Kwatra, echoed this enthusiasm, calling the deal a "big WIN" for the strategic partnership under the leadership of Prime Minister Narendra Modi and President Trump.

Kwatra highlighted how the agreement opens vast new opportunities for the economies and peoples of both nations. He noted that the announcements signal an exciting new phase in bilateral relations, building on years of deepening ties.

A key feature of the deal is India's favourable tariff treatment compared to Pakistan. Under an Executive Order issued by President Trump on 31 July 2025, Pakistan faces new reciprocal tariff rates, including a 19 per cent levy. India, by contrast, has secured lower rates, underscoring the US's prioritisation of its partnership with New Delhi amid shifting South Asian dynamics.

This development comes amid External Affairs Minister S Jaishankar's three-day visit to the United States. On Tuesday, Jaishankar is scheduled to hold talks with US Secretary of State Marco Rubio at the Department of State at 3:30 pm local time. The discussions are expected to cover trade implementation, strategic cooperation, and regional security.

Jaishankar's itinerary also includes participation in the inaugural Critical Minerals Ministerial on 4 February, hosted by Washington. Ahead of the event, the US Department of State announced that Secretary Rubio aims to unite global partners to bolster cooperation on critical mineral supply chains. These minerals, vital for batteries, semiconductors, and defence technologies, form a cornerstone of future economic and strategic resilience.

The trade deal emerges against a backdrop of robust India-US economic engagement. Bilateral trade has surged in recent years, with India becoming one of America's largest trading partners. The agreement addresses long-standing issues like tariff barriers, agricultural access, and digital trade, while aligning with Trump's "America First" agenda and Modi's "Make in India" push for manufacturing self-reliance.

For American stakeholders, the pact promises enhanced market access for exports such as soybeans, almonds, and high-tech goods. Desai's comments reflect optimism that it will safeguard jobs in rust-belt states and farming communities, countering competition from lower-cost producers.

From India's perspective, lower tariffs facilitate greater exports of pharmaceuticals, textiles, and engineering goods. Ambassador Kwatra's remarks suggest the deal could accelerate investments in sectors like semiconductors and renewable energy, where both nations seek to diversify supply chains away from China.

Geopolitically, the timing is significant. With Pakistan facing steeper tariffs, the US appears to reward India's alignment on issues like counter-terrorism, Indo-Pacific stability, and the Quad framework. This contrasts with strained US-Pakistan relations, strained further by Islamabad's overtures to Beijing.

Jaishankar-Rubio talks may also touch on defence co-production, with ongoing initiatives like GE F414 jet engine manufacturing in India gaining momentum. The critical minerals forum aligns with US efforts to secure rare earths and lithium, areas where India holds processing potential.

Critics in both countries have voiced concerns. Some US farm lobbies worry about Indian dairy subsidies, while Indian manufacturers fear competition from American steel. Nonetheless, both leaders frame the deal as mutually beneficial, with provisions for future reviews.

As Modi and Trump continue their rapport—evident in recent summits—this pact reinforces the India-US relationship as a counterweight to global uncertainties. It positions both nations to capitalise on India's demographic dividend and America's innovation edge.

The announcement, reported by ANI on 3 February 2026 from Washington DC, has sparked positive reactions across capitals. With Jaishankar's visit underway, further details on implementation timelines and sector-specific gains are anticipated soon.

Based On ANI Report