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India welcomes US tariff cut as PM Modi thanks Trump for easing trade barriers

PM Modi has thanked US President Donald Trump after the US reduced tariffs on Indian goods to 18%, calling the move beneficial for bilateral trade.

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Prime Minister Narendra Modi on Sunday welcomed US President Donald Trump’s decision to lower tariffs on Indian goods, describing the move as one that unlocks significant opportunities for cooperation between the two countries.

Minutes after President Trump announced the reduction on his social media platform, the Prime Minister took to X to express his appreciation, calling the development a boost for “Made in India” products entering the US market.

“Delighted that Made in India products will now have a reduced tariff of 18 per cent,” PM Modi said, thanking President Trump on behalf of India’s 1.4 billion people.

The Prime Minister said he had a “wonderful” conversation with President Trump and underlined the broader significance of the decision, noting that closer economic cooperation between the world’s two largest democracies benefits people on both sides.

PM Modi also said that when two major economies work together, it opens doors for mutually beneficial growth, adding that India supports President Trump’s efforts aimed at global peace, stability, and prosperity. He said he looked forward to strengthening the partnership further.

President Trump, while announcing the tariff reduction, described the move as a “trade deal” and referred to PM Modi as a close friend and a respected leader.

Trade signals positive momentum

The US India Strategic Partnership Forum described the tariff reduction as an important and positive first step in strengthening bilateral trade relations.

While the detailed terms of the agreement are yet to be finalised, the announcement reflects political intent on both sides to move towards a broader US-India bilateral trade agreement. Such an agreement is expected to address issues related to tariffs, market access, non-tariff barriers, and trade across multiple sectors.

How tariffs on Indian goods evolved

The latest decision comes after months of tariff fluctuations on Indian exports to the US.

Timeline of key developments

  • April 2, 2025: The US imposed a 26% reciprocal tariff on several Indian imports as part of global tariff actions.
  • April 10, 2025: The tariffs were paused for 90 days, with a 10% duty retained on all US imports.
  • July 31, 2025: A 25% tariff was announced on Indian goods, along with a warning linked to India’s purchase of Russian oil.
  • August 7, 2025: Tariffs were raised to 50%, the highest imposed on any US trade partner at the time.
  • February 2, 2026: The US announced a reduction in tariffs on Indian goods to 18%.

The latest rollback marks a significant easing of trade tensions and sets the stage for deeper engagement between India and the United States.

India News

Petrol crosses Rs 100 mark in Delhi after fresh Rs 2 hike amid global tensions

Petrol and diesel prices have been hiked by Rs 2 per litre in Delhi, pushing petrol past the Rs 100 mark. The revision marks the fourth increase within two weeks, driven by the ongoing Iran-US conflict.

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In a significant blow to daily commuters, domestic fuel prices have been raised once again. Petrol and diesel rates were increased by Rs 2 per litre on Monday, marking the fourth such upward revision in the last two weeks. With this latest hike, the price of petrol has officially breached the psychological threshold of Rs 100 per litre in the national capital.

The consecutive revisions come on the back of severe disruptions in global oil supplies triggered by the ongoing military escalation between Iran and the United States. As international crude markets navigate the fallout of the West Asia crisis, domestic oil marketing companies have steadily passed the financial burden onto consumers to cope with surging production costs. Prior to this update, fuel rates had already experienced multiple sharp spikes over the last fortnight, compounding the financial strain on households.

Media reports indicate that while the central government had previously managed to hold steady on retail prices during the early phases of the geopolitical disruption, the sustained pressure on global energy supply routes has left local distributors with little choice but to adjust domestic rates accordingly.

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Delhi heatwave alert as mercury touches 44 degrees across capital

Delhi witnessed its hottest May day since 2024 on Monday as dry scorching winds pushed local temperatures past the 44 degrees Celsius mark, prompting a multi-day weather alert.

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The national capital was gripped by relentless dry winds and piercing heat on Monday, turning the city into a virtual furnace as maximum temperatures breached the 44 degrees Celsius mark in several localities. Residents are now bracing for an extended period of punishing summer conditions over the coming week.

According to the official weather department, Delhi’s base station at Safdarjung registered a maximum temperature of 43.4 degrees Celsius, which is 3 degrees higher than the seasonal normal. Meanwhile, the minimum temperature settled at 26.3 degrees Celsius. Although official heatwave criteria were not formally declared for the entire city, Monday marked the hottest day in May since 2024. The previous high for the month was observed on May 17, 2024, when the temperature reached 43.6 degrees Celsius.

Localized temperatures surge beyond 44 degrees

Among regional tracking stations, Ridge recorded the highest temperature at 44.6 degrees Celsius (3.1 degrees above normal). It was closely followed by Ayanagar at 44.4 degrees Celsius, Lodhi Road at 43.8 degrees Celsius, and Palam at 43.5 degrees Celsius. The minimum temperatures across most suburban pockets hovered around 26 degrees Celsius, aligning mostly with seasonal expectations.

The weather office has forecast sustained heatwave conditions across northwestern and central India. The capital is expected to see temperatures fluctuate between 43 and 45 degrees Celsius. Formally, a heatwave is logged when maximum temperatures cross 40 degrees Celsius and remain 4.5 to 6.4 degrees above normal for a continuous duration. A yellow alert remains active for Tuesday, with expectations of a maximum temperature of 44 degrees Celsius and a minimum around 28 degrees Celsius.

Thar Desert winds trap heat over Delhi-NCR

Independent weather experts stated that intense northwesterly winds traveling from Rajasthan’s Thar Desert and parts of central Pakistan are driving the surge. As these winds cross large arid stretches, they turn exceptionally dry, trapping heat near the ground surface and escalating local conditions.

Experts also noted that elevated night temperatures are a result of severe daytime heating. Because the ground lacks sufficient time to release the stored heat overnight, nights remain uncomfortably warm. With no forecast for thunderstorms or pre-monsoon showers over the next 10 days, the dry spell is likely to persist, heightening the risk of heat-related illnesses and sunstrokes.

Furthermore, environmental researchers highlighted that according to district-level vulnerability assessments, more than half of Delhi’s districts face a very high to extreme risk from heat. The lack of nighttime cooling reduces the human body’s capacity to recover from daytime thermal stress. On the environmental front, the city’s air quality index (AQI) was recorded at 173, remaining in the ‘moderate’ category.

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India News

Petrol and diesel prices increased for the third time in ten days amid global energy strain

Retail fuel prices across Indian metros jumped on Saturday as petrol rose by 87 paise and diesel by 91 paise in Delhi, accumulating a total increase of nearly five rupees per litre since May 15.

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Consumers across the country will face higher transport costs as domestic fuel prices were increased again on Saturday, marking the third revision within a ten-day window. State-owned oil companies have implemented a calibrated upward revision to pass on the rising costs of global energy, which have remained elevated due to the ongoing conflict in the Middle East.

With the latest adjustment, petrol prices went up by 87 paise per litre, while diesel rates rose by 91 paise per litre in the national capital. This series of revisions began on May 15, accumulatively raising the retail fuel prices by nearly Rs 5 per litre over the last ten days.

Revised fuel rates across major metropolitan cities

Following Saturday’s market adjustment, the retail selling prices for fuel have shifted across major consumer hubs. In Delhi, petrol now retails at Rs 99.51 per litre, while diesel stands at Rs 92.49 per litre.

Other major metropolitan cities saw parallel increases based on local taxation and transport variables:

  • Kolkata: Petrol jumped by 94 paise to retail at Rs 110.64 per litre, while diesel increased by 95 paise to hit Rs 97.02 per litre.
  • Mumbai: Retail petrol increased by 90 paise to reach Rs 108.49 per litre, and diesel climbed by 94 paise to sell at Rs 95.02 per litre.
  • Chennai: Petrol prices rose by 82 paise to Rs 105.31 per litre, whereas diesel increased by 87 paise to cost Rs 96.98 per litre.

Additionally, the price of Compressed Natural Gas (CNG) was increased by Rs 1 per kilogram in Delhi, taking its retail cost to Rs 81.09 per kilogram in the National Capital Region.

Gradual pass-through of global market pressures

The continuous upward adjustment follows a multi-week period of escalating crude prices. Before the latest weekend adjustment, fuel rates had already been raised by Rs 3 per litre on May 15, which was quickly followed by a 90 paise per litre hike on May 19.

Media sources close to government channels stated that the domestic oil market had previously received significant cushioning during high crude price cycles. During the height of the Hormuz supply crisis, the central administration indirectly absorbed price differences reaching up to Rs 24 per litre on petrol and Rs 30 per litre on diesel to shield consumers.

Financial data indicates that public sector oil marketing companies faced severe economic pressure during past stabilizing measures. Between 2021 and 2024, oil firms recorded collective losses of approximately Rs 24,500 crore. Furthermore, an economic burden of nearly Rs 40,000 crore was absorbed during the 2024-25 fiscal year specifically to keep liquefied petroleum gas (LPG) rates steady for retail consumers. The current staggered price hikes reflect a balancing act between protecting public fiscal healthcare and managing macro-level inflationary pressures.

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