President Donald Trump says the United States and India are “pretty close” to a fair trade agreement that could lower tariffs currently set at 50 percent on Indian imports. India’s recent cuts to its Russian oil purchases appear to be a key factor. The president also hinted at a possible visit to India next year at Prime Minister Narendra Modi’s invitation.

India and the United States are reportedly preparing to finalize a trade deal that involves India reducing its Russian oil imports in exchange for lower U.S. tariffs. These negotiations follow an earlier collapse in talks over India’s refusal to open its agricultural and dairy markets.

India is ramping up its purchases of American crude oil and natural gas in an effort to diversify its energy sources. This move comes after President Trump voiced concerns about India’s purchases of discounted Russian oil.

President Trump’s newly enacted 50% tariff on Indian goods follows his initial 25% measure. Officials cite India’s continuing purchase of Russian oil as a key reason for the increase, raising concerns about the effects on key export industries.

The United States has doubled tariffs on many Indian goods to 50 percent, an increase tied to India’s purchase of Russian oil. This shift comes as President Donald Trump seeks to penalize New Delhi over its economic ties with Moscow.