India has announced zero import tariffs on select US goods including alcohol, cosmetics and medical devices, signalling a major shift in trade relations and consumer market access.
Published: February 7, 2026 4:59 PM IST
Tariff Exemption on US Imports to India: India’s commerce minister Piyush Goyal announced several US imports including alcoholic drinks and specialized pharmaceutical products that will soon be exempt from import duties under a partial trade pact between India and the United States.
Goyal made the announcement during a press conference in Delhi Saturday. “India has agreed to grant zero-duty imports on a number of products from the US as part of negotiations to increase trade between the two countries and improve the flow of goods and investments,” he said.
US Imports That Will Enjoy Zero Tariffs
Among the products from the US that will now enjoy zero import tariffs upon arrival to India are alcoholic drinks, cosmetics and specialised pharmaceuticals.
The following are some of the major items mentioned in a list tweeted by Goyal:
- Distiller’s dried grains with solubles (DDGS), an animal feed ingredient
- Wines, alcoholic beverages and spirits
- Certain cosmetic items
- Some medicines including select cancer drugs
- Certain organic & inorganic chemicals
- Computer hardware
- Sophisticated medical equipment like microscopes
Goyal also said that minimum import prices on these items will be strictly enforced to protect domestic industries.
India Exports That Enjoy Tariff Exemption In US
Tariff exemptions will also apply to some Indian exports heading to the US as the Ministry of Commerce said jewellery, gems, electronics including smartphones as well as pharmaceuticals will continue to enter the US duty-free.
Indian exporters in the gems and jewellery sector as well as pharmaceuticals companies have struggled with tariffs in recent years and will benefit from this move.
After Tariffs, A New Phase
India and the US have been negotiating tariffs on each other’s goods for years. Indian farmers and Congress Party politicians had criticised India for not doing enough to protect them from cheap US imports earlier this year.
Negotiators from India and the US on Saturday said that the trade pact would allow for greater collaboration on rules, intellectual property rights, and stronger supply chains.
Indian industry chambers and trade associations praised the government’s announcement as a long-awaited improvement in trade relations between India and the US.
India-US Trade Deal Expected Soon
This partial trade pact is only an interim agreement. In the coming weeks, Delhi and Washington are likely to agree on a comprehensive trade deal between the world’s largest democracy and the oldest.
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