On January 27, 2025, U.S. President Donald Trump and Indian Prime Minister Narendra Modi engaged in a significant phone call, emphasizing the need to strengthen bilateral ties through fair trade practices and increased defense collaboration. The White House described the conversation as “productive,” highlighting discussions on Indo-Pacific security, the Middle East, Europe, and broader cooperation.
Trade Relations and Economic Cooperation
A central theme of the call was the enhancement of trade relations between the United States and India. President Trump stressed the importance of India increasing its procurement of American-made security equipment, aiming to address trade imbalances and promote a more equitable trading relationship. The United States is India’s largest trading partner, with two-way trade surpassing $118 billion in the 2023/24 period, resulting in a $32 billion trade surplus for India.
Prime Minister Modi expressed India’s commitment to a mutually beneficial and trusted partnership, emphasizing the shared goal of global peace, prosperity, and security. He referred to President Trump as a “dear friend” and reiterated the intention to work together for the welfare of their peoples.
Defense Cooperation and Strategic Partnerships
The leaders also discussed deepening defense cooperation, with President Trump highlighting the need for India to purchase more American-made security equipment. This aligns with the broader strategic objective of countering China’s growing influence in the Indo-Pacific region. Both leaders emphasized their commitment to the Quad grouping, which includes the United States, India, Australia, and Japan, underscoring the strength of the friendship and strategic ties between the nations.
Plans for Future Engagements
Plans for Prime Minister Modi to visit the White House were discussed, underscoring the strength of the friendship and strategic ties between the two nations. Diplomatic sources indicate that efforts are underway to arrange a meeting between the leaders as early as February 2025.
Addressing Trade Imbalances and Immigration
The conversation also touched upon addressing trade imbalances and immigration issues. The Trump administration intends to address trade, technology, investment, energy, defense, and immigration issues, with an emphasis on legal migration of skilled workers. India, known for its large pool of IT professionals, is keen on facilitating the legal migration of skilled workers to the United States.