Progress in US-India Trade Talks Amid Looming Tariffs

During a meeting in Delhi, Modi emphasized mutual cooperation on trade, defense, and technology with US Vice-President JD Vance, who is visiting India with his family. As both countries strive to address tariff concerns, discussions included key sectors like agriculture and energy, while Vance’s family explored India’s cultural heritage.

India and the United States are advancing discussions on a significant bilateral trade agreement, as confirmed by a meeting between Indian Prime Minister Narendra Modi and US Vice-President JD Vance in Delhi. Vance, who is visiting India for four days with his wife and children, is optimistic about fostering cooperation between the two countries.

“Our dedication to mutually beneficial collaboration spans trade, technology, defense, energy, and cultural exchanges,” Modi voiced on X after their Monday night meeting. The Indian Prime Minister also hosted a dinner for Vance's family at his residence to strengthen diplomatic ties.

Currently, India is among several countries in dialogue with the US amid a 90-day hiatus on imposing higher tariffs by President Trump, which is set to conclude on July 9. India was facing potential tariffs of up to 27% before this reprieve, prompting efforts from both sides towards an expedited trade agreement.

Both leaders have a history of camaraderie, with Modi being one of the first global figures to visit Trump following his re-election. However, tensions arise as Trump has publicly criticized India's steep tariffs, dubbing it a "tariff king." In a statement after the meeting, US Trade Representative Jamieson Greer pointed to a “serious lack of reciprocity” in trade relations with India.

Recent months revealed India's initiative to lower tariffs on various goods as a gesture towards accommodating US demands. However, contentious subjects like agriculture remain unresolved, with the US seeking access while India prioritizes its domestic agricultural policies.

In addition to trade topics, Modi and Vance addressed cooperation in defense and energy, signaling a broadening of strategic partnerships. Modi expressed anticipation for Trump’s visit to India, who is expected to attend the upcoming Quad summit later this year.

Vance’s visit included a cultural angle, with his family keen to explore their Indian roots. The children were seen dressed in traditional Indian attire, and after their meeting with Modi, the family planned to explore historical sites like Jaipur’s Amer Fort and the Taj Mahal in Agra before returning to the US.