Trump, Modi discuss trade and potential White House visit

US President Donald Trump and Indian Prime Minister Narendra Modi discussed trade and a potential state visit to Washington in a phone call on Monday.

The White House said Trump emphasized the importance of “moving toward a fair bilateral trading relationship” as well as the importance of India procuring American-made security equipment.

The two leaders also discussed plans for Modi to visit the White House.

“We are committed to a mutually beneficial and trusted partnership,” Modi said on social media.

“We will work together for the welfare of our people and towards global peace, prosperity, and security.”

Modi keeping close to Trump

Modi was among the first world leaders to congratulate Trump both after he was projected to win a second term in the White House as well as after his recent inauguration, calling him a “dear friend.”

During Trump’s first term, Modi also stressed his willingness to work with the US leader to the benefit of both their countries.

In September 2019, the two showcased their camaraderie by holding a “Howdy Modi” event in Houston, where Trump addressed some 50,000 Indian-Americans, marking a significant moment in US-India relations.

That rally was followed by a “Namaste Trump” event in India’s Gujarat state in February 2020, where Trump vowed to solidify US-India ties.

What are the US and India’s shared interests?

US-India relations have grown over the course of numerous presidencies as both democracies share a common goal of containing China in the Indo-Pacific region.

Observers are confident that this shared aim will mean security ties remain stable. India purchased tens of billions of dollars of US military hardware from the previous Biden administration.

However, trade may be a different story, owing to Trump’s expressed willingness to use tariffs as a foreign policy tool.

“Trump previously labeled India a ‘tariff king’ and indicated intentions to implement a reciprocal tax system if he got re-elected, which would further complicate trade dynamics between the two nations,” foreign policy expert C Raja Mohan told DW before last year’s election.

“The second Trump presidency underscores a complex setting for India, marked by weighty risks in trade and immigration,” he said.

Annual bilateral trade between the two nations is over $190 billion (€181 billion). The US is also India’s largest export market for goods and services.

If Trump were to levy major tariffs on Indian exports it could spell trouble for India’s domestic businesses.

js,zc/wmr (AP, Reuters)