Trump and Modi Discuss Trade, Defence, and Energy Amid Tariff Disputes

US President Donald Trump welcomed Indian Prime Minister Narendra Modi to the White House on Friday, describing him as a "great friend" while reinforcing his administration's firm stance on trade policies.

During their meeting in the Oval Office, the two leaders engaged in wide-ranging discussions on strengthening bilateral relations, with a focus on defence, energy, and critical technology. Trump announced plans to finalise “some wonderful trade deals” with India but reiterated concerns over tariffs and market access.

“We are going to work with India. We have separate big trade deals to announce in the very near future,” Trump stated.

Modi congratulated Trump on his second term and expressed optimism about enhancing economic cooperation. “I firmly believe that in your second term, we will work with more speed,” he said.

Trade tensions remain a significant challenge. Trump, who has previously referred to India as the “tariff king,” once again criticised its high import duties. “Whatever India charges, we charge them,” he remarked. “So, frankly, it no longer matters to us that much what they charge.”

Despite these frictions, both sides signalled progress on economic initiatives. India aims to double its trade volume with the US by 2030, while Washington seeks to expand its role as a major energy supplier to India. Modi expressed willingness to discuss easing tariffs and increasing Indian imports of American oil, gas, and combat aircraft, including the advanced F-35 stealth fighter jets.

Trump’s newly announced reciprocal tariff policy, which seeks to match tariffs imposed by other nations on US goods, cast a shadow over the talks. A White House fact sheet highlighted disparities, noting that while the US applies an average tariff of 5% on agricultural imports, India’s rate stands at 39%.

As both nations navigate trade negotiations, their strategic partnership in the defence and energy sectors is expected to remain a key pillar of their bilateral relationship.