Why the new US-India trade agreement is a big deal

South China Morning PostCenter-RightEN 2 min read 100% complete by C. Uday BhaskarFebruary 6, 2026 at 10:30 PM

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A new US-India trade agreement, announced via social media by Donald Trump, aims to reduce trade tensions between the two countries. Trump stated that India has committed to buying over $500 billion in US products and reducing Russian oil imports, potentially aiding efforts to end the war in Ukraine. Narendra Modi acknowledged the agreement and expressed support for Trump's leadership in global peace efforts. The deal includes a reduction in tariffs for India, potentially boosting its export competitiveness. While Trump claimed India agreed to cease Russian oil purchases, Modi's statement lacked this specific commitment, and the full details of the agreement are yet to be released.

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Key Player Opposition Context

Venezuela 40% China 60% Ukraine 60% Russia ×370% Narendra Modi ×480% India ×890% Donald Trump ×690% United States ×590%

Keywords

us-india trade agreement 100% russian oil 80% trade tensions 70% tariffs 60% strategic implications 50% geopolitical implications 50% economic implications 50% export competitiveness 40% trade imbalances 40%

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Positive

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South China Morning Post

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Center-Right (0.50)

Far LeftCenterFar Right

Classification Confidence

90%

This article was automatically classified using rule-based analysis. The political bias score ranges from -1 (far left) to +1 (far right).

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us-india trade agreement russian oil trade tensions tariffs strategic implications geopolitical implications economic implications export competitiveness trade imbalances

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