What Modi-Trump talks in Washington signal for India-US trade and defence ties
Last Updated on February 16, 2025 6:09 am
Prime Minister Narendra Modi, on his first visit to Washington under Trump 2.0, discussed reciprocal tariffs, trade, military cooperation, and geopolitics with the US President in the White House on Thursday.
In the backdrop of Donald Trump threatening new tariffs on foreign countries, the Modi government was prepared, having reduced the import duties on Bourbon, alfalfa hay and frozen fish paste, among other items. The US and India have a trade deficit of nearly $50 billion, but Trump, after the meeting, said the US sale of oil & gas will bridge that gap.
While the MAGA+MIGA=MEGA branding played out in India’s favour, it is the COMPACT-ASIA-TRUST branding that will define India-US ties going forward. COMPACT (Catalysing Opportunities for Military Partnership, Accelerated Commerce & Technology) for the 21st Century introduced a 10-year framework for bilateral defence ties. ASIA or the Autonomous Systems Industry Alliance sets the path for industrial partnerships. TRUST or Transforming the Relationship Utilising Strategic Technology is not just about sharing defence technology but also cooperation on the energy, space and Artificial Intelligence fronts.
The leaders also vowed to keep immigration open for students and professionals, while taking strict measures to curb illegal immigration and human trafficking.
In Episode 1607 of #CutTheClutter, ThePrint Editor-in-Chief Shekhar Gupta lists the key takeaways from the talks, the possibility of increased procurement of US military equipment by India and joint exercises, and their geopolitical significance.