New Delhi, Feb. 3 -- US President Donald Trump announced on February 2 that the United States and India have reached a trade agreement following a phone call with Indian Prime Minister Narendra Modi.

In a Truth Social post, Trump said India agreed to adjust its energy purchases and expand imports of US goods, and in return the United States would reduce tariffs on Indian products.

"Caution, not celebration, is needed," said Global Trade Research Initiative (GTRI) Founder Ajay Srivastava as the US President's Truth Social post leaves major questions unanswered.

Trump stated that the US would lower its reciprocal tariff on Indian goods fr0m 25 per cent to 18 per cent. The White House later clarified that this change also involves removin...