White House Press Secretary Karoline Leavitt has asserted that India has pledged to cease its purchases of Russian oil and shift towards sourcing crude from the United States, as part of a freshly announced trade agreement between the two nations.

This claim emerged during Leavitt's remarks to reporters outside the White House on Tuesday, local time, following a direct conversation between US President Donald Trump and Indian Prime Minister Narendra Modi on Monday.

Leavitt highlighted the strong personal rapport between the two leaders, noting that India not only committed to halting Russian oil imports but also to ramping up acquisitions of American energy resources.

She further suggested that India might procure oil from Venezuela, a development she framed as advantageous to the US economy.

In her statement, Leavitt said: "As you all saw yesterday, the President struck another great trade deal with India. He spoke with Prime Minister Modi directly; they share a very good relationship. India committed to not only no longer purchasing Russian oil but also buying oil from the United States, and perhaps also from Venezuela, which we know will now have a direct benefit on the United States and the American people."

Leavitt also pointed to broader economic pledges, including India's commitment to invest USD 500 billion in the US across key sectors such as transportation, energy, and agriculture.

"This is another great trade deal," she added, underscoring the multifaceted nature of the agreement.

The announcement builds on Trump's own Truth Social post from Monday, where he described his talks with Modi as covering trade, the Russia-Ukraine war, and energy shifts.

Trump wrote that Modi, whom he called one of his closest friends and a "powerful and respected leader," agreed to stop buying Russian oil, increase US purchases, and potentially source from Venezuela.

He further announced an immediate trade deal reducing the US reciprocal tariff from 25 per cent to 18 per cent "out of friendship and respect" for Modi, with India reciprocating by moving towards zero tariffs and non-tariff barriers.

Prime Minister Modi responded promptly on X, expressing delight at the reduced 18 per cent tariff for "Made in India" products and thanking Trump on behalf of India's 1.4 billion people.

In New Delhi, Commerce and Industry Minister Piyush Goyal addressed concerns over the deal's implications during a press conference on Tuesday.

Goyal emphasised that India's sensitive economic sectors, particularly agriculture and dairy, remain fully protected, aligning with Modi's longstanding advocacy for these areas. He noted widespread national enthusiasm for the agreement, which safeguards workers' interests while opening new opportunities.

This development occurs amid heightened global scrutiny of India's Russian oil imports, which have persisted despite Western sanctions following Russia's 2022 invasion of Ukraine. India, the world's third-largest oil importer, has cited energy security and discounted pricing as reasons for continuing these purchases, often refining and reselling the crude to third markets.

The alleged commitment marks a potential pivot, influenced by strengthening US-India ties under Trump's second term and Modi's pragmatic diplomacy.

US crude exports to India have already risen in recent years, but a full halt to Russian supplies could reshape global energy flows, boost American producers, and align New Delhi more closely with Washington's geopolitical priorities.

The Venezuelan angle adds intrigue, given the US's recent easing of sanctions on the OPEC nation's oil sector to stabilise markets and counter Chinese influence.

However, Indian officials have not independently confirmed the oil cessation pledge in public statements so far, with Goyal focusing instead on tariff reductions and sector protections.

Modi's X post similarly spotlighted export benefits for Indian manufacturing without referencing energy imports. Analysts view this as characteristic of bilateral negotiations, where public rhetoric from Washington often precedes formal joint communiqués from New Delhi.

The USD 500 billion investment claim, if realised, would represent a massive infusion into the US economy, dwarfing prior Indian commitments and spanning infrastructure-heavy sectors.

Such pledges echo patterns in Trump's deal-making style, blending immediate tariff concessions with ambitious long-term promises. For India, the 18 per cent tariff cut enhances competitiveness for its exports—textiles, pharmaceuticals, and auto components chief among them—in the vast US market.

Yet protections for agriculture and dairy signal Modi's balancing act between free trade and domestic farmer welfare, a politically sensitive domain ahead of state elections. The deal reinforces the US-India strategic partnership amid tensions with China, shared concerns over Russia, and India's multi-alignment foreign policy.

As details emerge, markets will watch for verification through official trade data, energy shipment records, and follow-up summits.

Based On ANI Report