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Big Diplomatic Win For India In US–India Trade Deal: Tariffs Slashed, Key Terms Softened In Revised Factsheet

  • "Committed" changed to "intends"
  • 'Agricultural' term removed from purchase list
  • Reference to 'certain pulses' removed
  • Digital services tax line dropped.
  • Digital trade language softened
  • Tone of agreement softened overall
trade deal
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The United States revised key wording in the India-US trade deal factsheet, replacing "committed" with "intends" regarding Indian purchases, removing "agricultural" from the purchase list, dropping the digital services tax line, and softening digital trade language overall.

The United States has quietly revised key wording in the India-US trade deal factsheet, just a day after it was first released by the White House. The changes, though subtle, have altered some important terms of the proposed agreement and sparked fresh discussion around the evolving trade framework between the two countries.

The revised document now available on the White House website reflects softer language and removes certain references that were present in the initial version.

Key wording changed in US factsheet

One of the most significant changes is in the description of India's proposed purchases of American goods. The earlier version of the factsheet stated that India "committed" to buy over $500 billion worth of US products, including energy, technology and agricultural items.

However, the updated version now says India "intends" to buy more American products, replacing the stronger word "committed" with softer language. The revised document has also removed the word "agricultural" from the list of product categories in that section.

Another change relates to tariff reductions and product lists. The initial factsheet had mentioned that India would reduce or eliminate tariffs on a wide range of US agricultural and food products, including dried distillers' grains (DDGs), red sorghum, tree nuts, fruits, soybean oil, wine, spirits and "certain pulses".

In the updated version, the reference to "certain pulses" has been dropped from the list.

Changes to digital tax and trade clauses

The revised factsheet also modifies language related to digital trade. The earlier document stated that India "will remove its digital services taxes" and had committed to negotiating robust bilateral digital trade rules.

In the updated version, the line stating that India will remove its digital services taxes has been removed. Instead, the document now only notes that India has committed to negotiating a robust set of bilateral digital trade rules to address barriers and practices affecting digital trade.

These changes come days after India and the United States unveiled a framework for a reciprocal and mutually beneficial trade agreement aimed at boosting bilateral trade and investment.

Details of the proposed trade framework

Under the proposed interim agreement, both countries have agreed to reduce import duties on several goods. The US is expected to lower tariffs on Indian goods to 18% from the current 50%, while India will reduce or eliminate duties on US industrial products and a range of American food and agricultural items.

These include products such as dried distillers' grains, red sorghum for animal feed, tree nuts, fresh and processed fruits, soybean oil, wine and spirits.

According to a joint statement issued earlier, India is planning to purchase $500 billion worth of US energy products, aircraft and parts, technology items, precious metals and coking coal over the next five years.

US President Donald Trump has also removed the additional 25% tariff imposed on India last year over purchases of Russian oil, citing that India has taken significant steps and committed to stopping direct or indirect imports from Moscow.

Both sides are now working toward finalising and signing the comprehensive trade deal by mid-March, with officials continuing negotiations on the finer details of the agreement.

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