Ensuring there are no speed bumps in ties: USISPF President, CEO Aghi

Both countries are expected to discuss the deportation of illegal Indian immigrants by the US government

Prime Minister Narendra Modi’s upcoming meeting with United States (US) President Donald Trump may focus on a range of issues, including greater market access, a potential trade agreement, buying more defence and energy products, and ramping up investments from America, US-India Strategic Partnership Forum (USISPF) President and Chief Executive Officer (CEO) Mukesh Aghi said.

 

Modi is set to hold bilateral talks with Trump on Thursday, the leaders’ first since the US President assumed office on January 20.

 

Modi’s meeting with Trump comes amid a trade war triggered by America’s protectionist policy agenda to promote domestic production and address trade deficits. While a trade war between the US and China has already started, a potential tariff conflict with other nations may also be on the cards as Trump is set to announce 25 per cent tariffs on all steel and aluminium imports, and ‘reciprocal tariffs’ on imports from all countries.

 

“We are trying to make sure there are no speed bumps in the relationship. This is a very critical relationship for the US and India. For the Indian economy to maintain a growth rate of 7-8 per cent, it needs large foreign direct investment coming in, and that’s mainly coming from the US,” Aghi said.

 

Both countries are expected to discuss the deportation of illegal Indian immigrants by the US administration, India’s concerns about their treatment, as well as issues related to the H-1B visa for skilled professionals in the US.

 

US-based Tesla’s Elon Musk is expected to meet Modi to discuss bringing electric cars to India and allocation of satellite spectrum for Starlink.

 

According to Aghi, during Modi’s visit, the issue of ‘market access’ and a ‘level-playing field’ for American businesses could be raised, amid the view that India levies high import duties on certain products.

 

“The other issue could be focusing on India’s trade surplus with the US and how that could be addressed,” he said, adding that the matter could be addressed easily by increasing natural gas imports from the US. India’s merchandise trade surplus with the US stood at $35 billion during 2023-24.

 

There could also be talks of India making more investments in America. Already, there have been investments by Indian companies in the US across sectors, such as steel, garment, and solar energy.