India-US Trade Deal: PM Modi Thanks President Trump for Agreement

Prime Minister Narendra Modi has welcomed the interim trade framework between India and the United States, calling it a symbol of growing trust. Expressing gratitude to President Donald Trump, PM Modi emphasized that the deal would bolster 'Make in India' and create significant employment opportunities.

Prime Minister Narendra Modi has formally expressed his appreciation for the consensus reached on the framework for an interim trade agreement between India and the United States. In a statement shared via social media and official channels, the Prime Minister described the agreement as a testament to the growing trust and dynamism within the bilateral partnership. He extended his gratitude to US President Donald Trump for his personal commitment to strengthening the ties between the two nations, marking a significant step forward in economic diplomacy.

Strengthening 'Make in India' and Sectoral Growth

The Prime Minister highlighted that the new trade framework is designed to provide a substantial boost to the 'Make in India' initiative. According to the Prime Minister, the agreement will open new avenues for India's hardworking farmers, entrepreneurs, MSMEs, startup innovators, and the fishing community. By facilitating better market access, the framework is expected to enhance the global reach of Indian products. Analysts suggest that the reduction in trade barriers will allow small and medium enterprises to integrate more effectively into global value chains, fostering domestic industrial growth.

Job Creation and Technological Synergy

A key focus of the Prime Minister's reaction was the potential for large-scale employment generation, particularly for women and the youth of India. PM Modi noted that the framework reflects a shared commitment to fostering innovation, which will deepen investment and technology partnerships between New Delhi and Washington. According to industry experts, the emphasis on technology exchange is likely to accelerate advancements in sectors such as semiconductors, artificial intelligence, and clean energy, further cementing the strategic nature of the economic relationship.

Resilient Supply Chains and Global Impact

Addressing the broader global implications, Prime Minister Modi stated that the framework would contribute to building solid and reliable supply chains. In an era of global economic shifts, the collaboration between India and the US is seen as a stabilizing factor for international trade, while the Prime Minister reiterated India's commitment to building future-oriented global partnerships that empower people and contribute to shared prosperity. This move aligns with India's long-term vision of becoming a developed nation (Viksit Bharat) by fostering strategic economic alliances.

Analytical Overview of the Framework

According to market analysts, the decision by the United States to cap tariffs on Indian goods at 18% represents a significant milestone in bilateral negotiations. This framework stems from the comprehensive US-India bilateral trade agreement talks initiated on 13 February 2025 by President Donald J. Trump and Prime Minister Narendra Modi. Official reports indicate that the agreement includes commitments for additional market access and supports more resilient supply chains. Analysts observe that this interim deal reflects a balanced approach to trade, focusing on mutual interests and tangible outcomes for both economies.

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