Trump Hints at Trade Deal: India Nears Deal To Slash Tariffs

India Nears Deal To Slash US Tariffs On Imports To 15%-16%: Report

In a symbolic moment of diplomacy wrapped in festivity, US President Donald Trump said on Tuesday that India is “not going to be buying too much oil” from Moscow, hinting at an understanding with Prime Minister Narendra Modi to gradually taper Russian oil imports amid the ongoing war in Ukraine.

Speaking at a White House Diwali celebration, where he lit a traditional diya (lamp) in the Oval Office, Trump said, “I spoke to Prime Minister Modi today and we just have a very good relationship. He’s not going to buy much oil from Russia. He wants to see that war end as much as I do. They’re not going to be buying too much oil.”

Trump added that India had already cut its Russian oil imports and would “continue to cut it way back,” signaling a softening of his earlier demands that New Delhi stop buying Russian crude completely. The remarks suggest Washington may be recalibrating its expectations to maintain strategic ties with one of its closest democratic partners in Asia.

Trump: Diwali Diplomacy and a Candid Exchange

The Diwali event, attended by Indian-American officials, entrepreneurs, and members of the administration, was as much a celebration of cultural ties as it was a moment of diplomatic messaging. But Trump also surprised the audience by recalling a conversation with Modi about Pakistan, saying, “Let’s have no war with Pakistan.”

The remark raised eyebrows, as New Delhi has long maintained that all issues with Islamabad must be resolved bilaterally and has consistently condemned Pakistan for exporting terrorism under the shield of its nuclear deterrent.

Trump, continuing his characteristic personal diplomacy, described Modi as “a great person and a great friend,” aligning with his tendency to personalize relationships with world leaders.

Modi Responds with a Subtle Message

Prime Minister Modi later confirmed the call in a social media post, thanking Trump for his Diwali greetings. While he did not comment on the oil issue directly, Modi wrote that he hoped the “two great democracies will continue to illuminate the world with hope and stand united against terrorism in all its forms.”

Diplomatic observers saw this as a subtle but clear reminder of India’s concerns regarding Trump’s recent outreach to the Pakistani military establishment and the potential emboldening of cross-border terrorism.

Trump: Energy Politics Meets Trade Diplomacy

The statement that “India is cutting Russian oil imports” marks a notable shift in tone from Trump’s earlier claims that India would bring its purchases to a “big stop.” According to energy trade analysts, there has been no significant reduction yet in Indian imports of Russian crude, much of which continues through private channels and long-term contracts.

However, the nuanced phrasing from both sides suggests ongoing negotiations behind the scenes. A targeted trimming of Russian oil purchases by India could pave the way for Washington to reconsider tariffs on Indian exports, opening a potential path toward mutual economic concessions.

Possible Modi-Trump Meeting on the Horizon

Both leaders are expected to meet next week at the ASEAN Summit in Malaysia, where they may discuss oil imports, trade relations, and defense cooperation. Trump is set to travel to Malaysia this weekend before heading to Japan and South Korea for further bilateral meetings.

Modi’s participation, however, remains unconfirmed. Indian diplomatic sources indicate that the trip may depend on whether there are “substantive outcomes” to discuss, beyond symbolic gestures and photo opportunities.

A Moment of Reflection Amid Global Uncertainty

Trump’s Diwali remarks also included an acknowledgment of his strained relationships with other major powers. He confirmed that he had canceled a planned meeting with Russian President Vladimir Putin in Budapest, calling it “a waste of time.” The US president said he wanted Russia and Ukraine to agree to a ceasefire at the current battlefront, though Moscow has insisted on guarantees of Ukrainian neutrality—a demand Kyiv and its European allies reject.

By weaving the festival of lights into his remarks, Trump appeared keen to reconnect with Indian-American voters and repair what analysts call “self-inflicted” damage to his image in India following recent tariff and visa controversies. “I love the people of India. We’re working on some great deals between our countries,” he said.

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