Indian Prime Minister Narendra Modi is on his way to Washington for a crucial meeting with US President Donald Trump. This will be their first official encounter since Trump began his second term in office.
Modi’s two-day visit comes at a tense moment, following Trump’s recent decision to impose a 25% tariff on global steel and aluminum imports. Calling these tariffs “the first of many,” the president has hinted at further duties on vehicles, chemicals, pharmaceuticals, and other products.
Also read: Ahead of PM Modi’s US visit, Trump’s top economic adviser calls India’s tariffs ‘enormously high’
The new metal tariffs have raised concerns in India’s steel and aluminum industries, which export goods worth billions of dollars to the US annually. On Tuesday, the Indian Steel Association warned that exports could drop by as much as 85% due to these new measures.
A test for Modi-Trump relations
The upcoming meeting will be a key moment for Modi and Trump as they navigate trade tensions. Trump has previously praised Modi as “the nicest human being,” while the Indian leader has referred to Trump as his “dear friend”.
Despite Trump’s history of imposing tariffs on allies, India has so far avoided direct confrontation over trade disputes. However, with the recent tariffs, that could change.
What to expect from the talks
India’s Foreign Secretary, Vikram Misri, highlighted the significance of this meeting, stating that Modi’s invitation to Washington “within barely three weeks of the new administration taking office” underscores the importance of US-India relations.
In a move to ease trade friction, India recently reduced duties on a range of products, including high-end motorcycles like Harley-Davidsons. Further tariff cuts on US exports, such as electronics, medical equipment, chemicals, dish antennae, and wood pulp, are also being considered.
Trade between the two countries has been steadily growing, surpassing $118 billion (£95 billion) last financial year, with India running a $32 billion trade surplus. While Trump has called for a “fairer” relationship, India has indicated a willingness to discuss a limited trade deal to address US concerns over market access.
Immigration and deportation issues
Another pressing issue on the agenda is immigration. Trump has been cracking down on illegal migration and claims that Modi has assured him India “will do what’s right” in response.
Last week, the US deported 104 Indian migrants, with many more expected to be returned. Images of deportees in shackles on a 42-hour military flight have caused public outrage in India. Discussions are likely to focus on managing the repatriation of hundreds more Indian nationals facing deportation.
India also hopes to move past legal disputes stemming from US accusations of an alleged Indian government plot to assassinate an American citizen on US soil.
Defence cooperation and military deals
A potential area of cooperation where both leaders could claim success is defence. India is the world’s largest importer of military arms, accounting for nearly 10% of global imports, according to the Stockholm International Peace Research Institute.
For decades, India has relied on affordable and dependable Russian defence equipment. High costs and political barriers kept American weapons out of reach. However, with changing dynamics, defence cooperation between India and the US could see significant progress during this visit.
(With inputs from agencies)