The call with Delcy Rodriguez occurred just before India and the US announced a trade deal that eased tariff pressures. It is seen as a diplomatic move related to energy sourcing.
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ABP Live Deep Dive | India Drops Heavy US Tariffs After Modi’s Venezuela, Trump Talks: What It Means For Oil & Trade
The India-US deal cut tariffs on Indian goods after months of strain over Russian oil, with Trump claiming India will shift to US and Venezuelan oil, a move tied to Modi’s Venezuelan outreach.
According to India’s foreign ministry, Modi and Trump spoke eight times during the year, even when talks were stuck.
Source : ANI
- India-US trade deal eased tariff pressure after months of friction.
- US linked tariff relief to India reducing its Russian oil imports.
- Modi's call with Venezuela's acting president preceded the trade announcement.
ABP Live Deep Dive: Prime Minister Narendra Modi’s recent phone call with Venezuela’s acting president Delcy Rodriguez, has drawn attention because of its timing. The conversation happened just days before India and the US announced a major trade deal that eased months of tariff pressure. For nearly a year, India-US ties were tense over India’s purchase of Russian oil.
With Washington linking trade relief to energy sourcing, the call is now being seen as a carefully timed diplomatic move.
India-US Trade Deal & Tariff Pressure Over Russian Oil
The India-US trade relationship faced a serious strain over the past year. The US imposed heavy tariffs on Indian goods, pushing total duties to nearly 50%. A key reason was India’s continued purchase of discounted Russian oil after the Ukraine war.
The US openly linked tariff relief to India's reduction of these imports. President Donald Trump repeatedly said India should buy more oil from the US instead of Russia. New Delhi, however, defended its position, saying Russian oil was critical for energy security and keeping fuel prices stable.
Despite several rounds of talks and frequent phone calls between Modi and Trump, no solution emerged for months. The deadlock kept tariffs high and trade ties under pressure.
What Trump Said About Russian Oil In The India-US Deal
The breakthrough came after a fresh Modi–Trump phone call this week. Trump announced that US tariffs on Indian goods would drop from 50% to 18%. He also claimed that India had agreed to stop buying Russian oil.
According to Trump, India would now source crude from the US and Venezuela. A White House official later confirmed that the special 25% punitive tariff linked to Russian oil would be removed as part of this understanding.
Modi welcomed the tariff cut and called the deal positive for both economies. However, his public statement did not mention Russian oil or any change in sourcing.
Venezuela's Oil Emerges As A Key Factor In Energy Diplomacy
Just days before the trade announcement, Modi spoke with Delcy Rodriguez. The two leaders discussed expanding cooperation in energy, trade, investment, health, agriculture, and digital technology.
This was their first call since Rodriguez became acting president. Both sides said they wanted to take India-Venezuela relations to new heights.
The timing stood out because Trump later named Venezuela as a possible replacement for Russian oil. Venezuelan crude is similar to Russian grades used by Indian refineries, making it a practical option. Analysts say Venezuela could help, though supply limits may prevent a full replacement.
India-US Relations After A Year Of Trade & Tariff Friction
The past year saw frequent public disagreements and stalled negotiations. At one point, a US official even claimed talks failed because Modi did not call Trump, a claim India strongly denied.
According to India’s foreign ministry, Modi and Trump spoke eight times during the year, even when talks were stuck. A deal only came together after the latest call, ending months of uncertainty.
With energy sourcing now central to trade talks, Modi’s outreach to Venezuela is being viewed as a smart diplomatic step. While full details are still awaited, oil diplomacy clearly played a major role in resetting India-US trade ties.
Before You Go
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Frequently Asked Questions
Why was Prime Minister Modi's call with Venezuela's acting president significant?
What was the main reason for the strain in India-US trade relations?
The US imposed heavy tariffs on Indian goods, largely due to India's continued purchase of discounted Russian oil after the Ukraine war. The US linked tariff relief to reduced Russian oil imports.
What was the outcome of the recent Modi-Trump phone call regarding trade tariffs?
Following a fresh phone call, President Trump announced a reduction in US tariffs on Indian goods from 50% to 18%. He also claimed India would stop buying Russian oil.
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