US President Donald Trump and Indian Prime Minister Narendra Modi shake on February 13, 2025 in the White House in Washington, DC, USA.
Kevin Lamarque | Reuters
Neu -Delhi and Washington will work more than double bilateral trade on 500 billion US dollars by 2030, said Indian Prime Minister Narendra Modi at a joint press conference with US President Donald Trump on Thursday.
At the end of the meeting of the two guides in Washington, Modi also said that “our teams will soon be working on closing a trade agreement that is beneficial for both sides.”
Trump recognized India's recent step to reduce the tariffs for selected imports and said he would start talks about the trade and hoped to get an agreement.
The comments came hours after Trump signed a memorandum of the President in which he imposed his plan to impose “mutual tariffs” on foreign nations, including India.
The United States would only calculate the same tariff rates that the India calculated, said Trump, while the trade deficit with India could be tackled with the sale of oil and gas.
India's simple average tariff in countries with the most characterized nation status is 17%compared to the United States, which charge 3.3%. The United States enjoys the MFN status with most major economies.
According to the office of US trade representative, the US -overall goods trade in India will be estimated at $ 129 billion in 2024. India's surplus with the United States, its second largest trading partner, reached $ 45.7 billion last year.
The United States will increase its military sales to India this year and ultimately provide the Asian ally F-35 fighter planes, Trump said at the briefing to confront what he described “the risk of radical Islamic terrorism”. India is the world's largest importer for defense equipment.
Modi said that India and the USA would also work together to develop artificial intelligence and semiconductors and at the same time concentrate on the determination of strong supply chains for strategic minerals.
The high goal of 500 billion US dollars could be achievable.
India can not only turn away from Russia – the key to the key defense of India – and could also increase its purchases of toned natural gas from American manufacturers, added Rajan.
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The Trump Modi meeting was at risk that US tariffs were great.
“We are a mutual nation at the moment … We will have the charges in India, we calculate them. Whatever another country accused, we calculate. So it means what I think what I think for a Is a very fair, “said the US President at the press conference.
The president said that mutual tariffs will not come into force immediately because his administration determines the corresponding tariff levels for every affected country.
Trump has already hit tariffs for China, Canada and Mexico as well as global tariffs for imports from steel and aluminum. Trump's tariffs in Canada and Mexico are currently in a break after both countries were obliged to act against illegal drug trafficking at their respective borders with the USA
Despite the encouraging tones from the Meeting, signs of friction remain in the relationship between the USA and India, said Daniel Balazs, a scientific fellow of the S. Rajaratnam School of International Studies, such as the illegal immigration problem and the close relationships of India to Russia.
“The latter in particular is unlikely that it will soon disappear and will probably remain a painful point between the two sides,” he said.
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