India, US natural partners: Modi on Trump's pitch to resume trade talks

PM Modi welcomed Trump's offer to resume trade talks, even as ties remain strained over Washington's 50% tariffs on Indian imports linked to Russian oil purchases

Prime Minister Narendra Modi on Wednesday welcomed US President Donald Trump's offer to resume negotiations with India to address the "trade barriers" between the two countries.

 

In a post on X, PM Modi wrote, "India and the US are close friends and natural partners. I am confident that our trade negotiations will pave the way for unlocking the limitless potential of the India-US partnership. Our teams are working to conclude these discussions at the earliest. I am also looking forward to speaking with President Trump. We will work together to secure a brighter, more prosperous future for both our people."

 

 Earlier on Tuesday (local time), Trump wrote on Truth Social, “I am pleased to announce that India and the United States of America are continuing negotiations to address the Trade Barriers between our two Nations. I look forward to speaking with my very good friend, Prime Minister Modi, in the upcoming weeks. I feel certain that there will be no difficulty in coming to a successful conclusion for both of our Great Countries!” 

Ties strained by tariffs

 

Trump’s outreach signals a possible thaw in relations after one of the most strained phases in more than two decades. Tensions deepened last month when Washington imposed an additional 25 per cent tariff on Indian imports over New Delhi’s purchase of Russian crude oil. The move doubled India’s tariff rate to 50 per cent — the highest globally, alongside Brazil. India had termed the measure “unfair, unreasonable, and unjust.”

 

Despite tariffs, Trump has repeatedly underlined his personal ties with PM Modi. “I’ll always be friends with Modi; he’s a great Prime Minister. He’s great. I’ll always be friends, but I just don’t like what he’s doing at this particular moment,” he said at the Oval Office on September 5.

 

Oil purchases at centre of rift

 

Trump has voiced disappointment with India’s continued imports of Russian oil, which the US argues undermine efforts to broker peace in Ukraine. “I’ve been very disappointed that India would be buying so much oil from Russia, and I let them know that. We put a very big tariff on India, a 50 per cent tariff, very high tariff. I get along very well with Modi; he’s great. He was here a couple of months ago,” Trump said.

 

India’s defence of energy security

 

The Ministry of External Affairs has consistently defended India’s energy choices, citing national security needs. It has also noted that Washington itself backed India’s oil purchases at the start of the Ukraine conflict in 2022. India has continued buying Russian crude at discounted rates after Western nations imposed sanctions and cut reliance on Moscow’s supplies.