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C Raja Mohan writes on Modi-Trump meet: Let’s make deals

12 Feb 2025
2 min

India-US Diplomatic Relations Under Modi and Trump

The recent summit between Prime Minister Narendra Modi and US President Donald Trump marked a pivotal moment in the diplomatic history between India and the United States. This meeting represented both continuity and change in their relationship, dealing with a familiar leader, yet navigating through the new dynamics introduced by the Trump administration.

Continuity in Relations

  • India has enjoyed a steadily improving relationship with the US since President Bill Clinton's visit in 2000.
  • Issues such as disputes over Pakistan and nuclear non-proliferation have been largely managed, preventing them from undermining bilateral cooperation.

Challenges with the Trump Administration

  • The Trump era marked a shift to an "America First" policy, focusing on reducing state size, regulatory burdens, and immigration, while reviving manufacturing.
  • Trump's external policies aimed at reducing trade deficits and minimizing military engagements abroad, representing a departure from previous administrative approaches.

Diplomatic Strategy

  • India's diplomatic task is challenging due to Trump's unique approach and aggressive negotiating style.
  • PM's diplomatic strategy involves pragmatic dealmaking in areas like trade, defense, energy, technology, and supply chain resilience.

Key Areas of Engagement

PM outlined several key areas for negotiation and cooperation:

  • Trade:
    • The US is keen on addressing the $45 billion trade deficit with India.
    • India is open to reducing tariffs and expanding market access for US goods.
  • Defense:
    • Focus on expanding India's purchase of US defense equipment.
    • Important to develop terms for technology transfer and co-production.
    • Strategic cooperation due to China's growing military capabilities.
  • Energy:
    • Opportunities for collaboration in hydrocarbon imports and nuclear power expansion.
  • Technology:
    • Critical and emerging technology cooperation is a priority.
    • Balancing technological collaboration with maintaining control over tech diffusion.
  • Supply Chain Resilience:
    • Focus on reducing dependency on Chinese manufacturing, especially post-Covid-19.

Domestic Implications and Reforms

The summit also highlighted the necessity for internal reforms in India to align with the changing global order, echoing PM's earlier slogan of "minimum government and maximum governance."

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