New Delhi: India has indicated plans to import goods worth nearly $500 billion from the United States over the next five years as part of a broader effort to reinforce economic ties, supply chains and technology partnerships under the newly announced interim trade framework between the two countries.
The proposed purchases are expected to span key areas such as energy, civil aviation, defence-linked equipment and high-end technology products, signalling a strategic push to deepen bilateral cooperation beyond traditional trade flows.
On Saturday, New Delhi and Washington released a joint statement unveiling the framework for an interim trade agreement designed to expand two-way commerce and boost India’s export potential across multiple sectors. The announcement followed high-level discussions held under the leadership of Prime Minister Narendra Modi and US President Donald Trump.
Commerce and Industry Minister Piyush Goyal said the arrangement would give Indian exporters greater access to the vast US market, estimated at $30 trillion, with particular gains expected for micro, small and medium enterprises, along with farmers and fishermen. He added that higher exports could translate into the creation of lakhs of jobs, especially benefiting women and young people.
Under the framework, the United States is expected to lower reciprocal tariffs on a range of Indian products to about 18 per cent, opening new opportunities in industries such as textiles and garments, leather and footwear, plastics and rubber goods, organic chemicals, home furnishings, handicrafts and select machinery segments.
In addition, duties will be eliminated on several categories, including generic medicines, gems and jewellery, and aircraft components. Officials said these measures would improve India’s export competitiveness and support domestic manufacturing under the Make in India programme.
The agreement also outlines exemptions under Section 232 for aircraft parts, tariff-rate quotas for auto components and negotiated outcomes for generic pharmaceuticals, all of which are projected to deliver concrete export benefits.
At the same time, India has ensured protection for sensitive agricultural and dairy sectors. Staple crops and products such as wheat, rice, maize, soyabean, poultry, milk, cheese, ethanol, tobacco, certain vegetables and meat will remain shielded from tariff concessions to protect farmers and rural livelihoods.
Goyal said the interim framework reflects a shared commitment by India and the US to deepen economic engagement while pursuing sustainable and inclusive growth for businesses and citizens in both countries.
