President Donald Trump has reaffirmed that the trade deal with India remains firmly in place despite a significant US Supreme Court ruling. Speaking at a White House press briefing on Friday, 20 February 2026, mere hours after the verdict, Trump declared, 'The India deal is on.' This statement came as the court struck down his sweeping global tariffs, a policy he had championed aggressively.

The Supreme Court's decision invalidated Trump's broad tariff impositions on numerous countries, deeming them an overreach of executive authority. Trump, undeterred, lashed out at the ruling during the conference, insisting that his tariff approach had proven effective in global diplomacy. He positioned the India trade framework as unaffected, emphasising its continuity.

Trump highlighted his personal rapport with Prime Minister Narendra Modi, describing their relationship as 'great' and 'fantastic.' He praised Modi as 'a great gentleman, a great man,' while noting past imbalances in trade. Under the deal, India now faces reduced reciprocal tariffs of 18 per cent, down from 25 per cent, in exchange for commitments on energy imports.

“I think my relationship with India is fantastic and we're doing trade with India. India pulled out of Russia. India was getting its oil from Russia. And they pulled way back at my request, because we want to settle that horrible war where 25,000 people are dying every month,” Trump said in the White House hours after the US Supreme Court verdict striking down his sweeping tariffs.

A key element of the agreement involves India's shift away from Russian oil. Trump claimed New Delhi had 'pulled way back' on purchases at his request, opting instead for American energy products. This followed an Executive Order earlier this month lifting punitive 25 per cent tariffs on India, tied to its pledge to cease direct or indirect imports from Moscow amid the ongoing war in Ukraine.

Trump reiterated a familiar narrative about averting conflict between India and Pakistan last summer. He asserted that his threat of 200 per cent tariffs on both nations halted escalating hostilities, which he described as teetering on the brink of nuclear war. 'Ten planes were shot down,' he said, crediting the move with saving '35 million lives,' as echoed by Pakistan's Prime Minister just yesterday.

This claim refers to the brief but intense aerial skirmishes in mid-2025 over Kashmir, where India and Pakistan exchanged strikes following a terrorist attack in Pahalgam. Fighter jets from both sides clashed, with confirmed losses on the Indian side, though numbers remain disputed. Tensions de-escalated swiftly through backchannel diplomacy, but Trump attributes the resolution squarely to his tariff ultimatum.

The President boasted broader successes, stating tariffs had ended 'five of the eight wars' he settled, including the India-Pakistan standoff. He framed these measures as delivering 'great national security,' despite the court's rejection of his global tariff regime. Trump vowed to adapt, saying, 'All the deals are on, we're just going to do it in a different way.'

On the trade front, Trump described the India arrangement as a 'fair deal' and a 'little flip' from previous dynamics. Previously, he alleged, India had been 'ripping us off' with higher tariffs on US goods. Now, with Washington imposing duties while exempting its own exports, the balance has shifted in America's favour, he argued.

The interim trade framework, announced earlier this month, marks a tentative step forward in US-India economic ties strained under Trump's first term. It builds on commitments from New Delhi to diversify energy sources away from Russia, aligning with Washington's geopolitical pressures on Moscow. Analysts note this could boost US LNG exports to India, which has ramped up purchases amid global energy volatility.

Trump's comments also touched on India's reduced reliance on Russian energy, linking it directly to the trade thaw. 'India was getting its oil from Russia. And they pulled way back at my request,' he said, tying this to efforts to end the 'horrible war where 25,000 people are dying every month.' This underscores how trade policy intersects with broader security aims.

Trump explained that he largely achieved this by threatening tariffs, telling both nations: "Look, you're going to fight? That's fine. But you're not doing business with the United States, and each of you will pay a 200 percent tariff." They quickly called back and said, "We have made peace."

The Supreme Court verdict poses challenges to Trump's economic nationalism, potentially forcing renegotiations worldwide. Yet, for India, the deal's survival signals resilience. As Trump put it, 'Nothing changes. They'll be paying tariffs, and we will not be paying tariffs.' This asymmetry remains the cornerstone.

Looking ahead, the agreement could pave the way for deeper bilateral ties, especially in defence and technology sectors where India seeks US partnerships. However, domestic pressures in both nations—India's push for self-reliance via 'Make in India' and US protectionism—may test its longevity. Trump's optimism prevails for now.

PTI