PM Modi and US President Trump Hold Warm Phone Call on Trade, Energy and Defence

Prime Minister Narendra Modi and United States President Donald Trump spoke on Thursday as both sides explored ways to revive momentum in their partnership, particularly with anticipation building around a possible trade agreement.

The discussion, described as cordial, touched on multiple areas that have become central to the trajectory of India-US ties.

Review of Partnership and Key Focus Areas

According to an official statement, the two leaders reviewed the progress of the India-US partnership and explored opportunities to expand cooperation in sectors such as trade, critical technologies, energy, defence and security.

The statement noted that both leaders expressed satisfaction with the strengthening of bilateral ties across various sectors. They specifically emphasised the need to maintain momentum in shared efforts to boost bilateral trade.

Both leaders also agreed to work in close coordination to address challenges and pursue shared strategic interests. The statement added that they discussed expanding collaboration in critical technologies, defence, energy and security, which form an essential part of the India-US COMPACT framework for the 21st century.

Modi Calls Conversation Warm and Engaging

Prime Minister Modi later shared his thoughts on the conversation on X, describing it as "warm and engaging". He wrote, "Had a very warm and engaging conversation with President Trump. We reviewed the progress in our bilateral relations and discussed regional and international developments. India and the US will continue to work together for global peace, stability and prosperity."

Tariff Strains and Global Optics

The conversation took place at a time when India-US relations have been under pressure following the United States' decision to impose a 25 percent penalty on New Delhi's purchase of Russian oil, in addition to existing tariffs. India has repeatedly described the tariffs as unfair and questioned the rationale behind targeting Indian imports when countries such as China and the European Union are major buyers of Russian energy.

The call also came shortly after Russian President Vladimir Putin's high-profile visit to India. The visit drew significant attention not only for the agreements signed but also for the warmth displayed between PM Modi and President Putin, including the widely discussed moment when they travelled together in a car from the airport to the prime minister's residence.

US domestic criticism of President Trump's approach to India has also intensified. Democratic legislator Sydney Kamlager-Dove referenced the Modi-Putin car ride while criticising Trump's foreign policy, stating, "Trump's policies towards India can only be described as cutting off our nose to spite our face, and this is doing real and lasting damage to the strategic trust and mutual understanding between our two countries."

Trade Talks Ongoing in Delhi

The timing of the call coincided with a US delegation's presence in New Delhi to discuss the bilateral trade agreement. Commerce Minister Piyush Goyal said discussions were progressing, though no deadline had been set for finalising the deal. "We had very good, substantive discussions. But I have said on record that a deal is only done when both sides stand to benefit. We should never negotiate with deadlines because you tend to make mistakes then," he explained.

Responding to remarks by US Trade Representative Jamieson Greer, who said Washington had received its "best-ever" offer from India, Goyal remarked that the Trump administration should proceed accordingly if that were the case.