Trump Modi Signal Warmer Ties Amid Trade Tensions

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Photo:Reuters

United States President Donald Trump has opened the door for a better relationship with India after months of tough words and trade disputes. Speaking on his social media platform, Trump said he was “certain” that India and the U.S. will be able to reach a “successful conclusion” in their trade talks. He also mentioned that he looks forward to speaking soon with his “very good friend” Prime Minister Narendra Modi.

Trump’s latest statement comes as a sign of hope in a relationship that has faced one of its worst phases in more than 20 years. The problems started when Washington raised tariffs sharply on Indian products, doubling them to as much as 50%. This included an extra 25% duty because India continued to buy discounted Russian oil after Western sanctions were placed on Moscow following its invasion of Ukraine in 2022.

India had described the tariff move as “unfair and unreasonable,” while defending its oil purchases as a matter of national interest. Officials in New Delhi have often said that the country’s energy policy is based on market needs and protecting citizens from high fuel prices.

Trump Praises Modi Despite Disagreements

Interestingly, Trump has continued to praise Modi even while showing frustration with India’s choices. He recently said, “I’ll always be friends with Modi, he’s a great Prime Minister. But I don’t like what he’s doing right now.”

In the same breath, Trump softened his criticism by adding, “India and the United States have a special relationship. There’s nothing to worry about. We just have moments on occasion.”

This mix of criticism and warmth reflects Trump’s unpredictable style but also underlines the importance of India-U.S. ties in global politics.

Modi Responds with Optimism

Prime Minister Modi responded politely to Trump’s remarks, saying he “deeply appreciates” the positive words from Washington. Modi stressed that the India-U.S. partnership is “comprehensive, forward-looking, and based on global strategic cooperation.”

By returning the compliment, Modi ensured that the tone of the conversation remained respectful and avoided worsening tensions.

Russian Oil Purchase – The Main Dispute

At the heart of the conflict is India’s decision to buy large amounts of Russian oil. The U.S. has openly expressed disappointment over this, saying that such purchases weaken global sanctions on Moscow. Trump himself said he was “very disappointed” to see India doing business with Russia at such a level.

India, however, argues that discounted Russian crude oil is critical for its growing economy and for keeping fuel affordable. Since the Ukraine war began, many Western countries stopped importing from Russia, but India saw this as an opportunity to secure cheaper energy supplies.

This difference in approach created friction between Washington and New Delhi. Trump even suggested in one of his earlier posts that “India and Russia may be moving closer to China,” referring to a photo of Modi with Russian President Vladimir Putin and Chinese President Xi Jinping taken at a recent summit of the Shanghai Cooperation Organisation (SCO) in Tianjin.

Signs of Thaw in Relations

Despite these differences, the latest signals from both Trump and Modi show a willingness to move forward. Trump’s assurance that the trade talks will end “successfully” suggests that negotiations could bring down tariffs and reduce trade barriers.

For India, a friendlier U.S. relationship is important not just for trade but also for technology, defense, and global security cooperation. For America, keeping India close helps balance China’s growing power in Asia.

Lobbying and Diplomatic Push

Reports have also mentioned that political lobbyists hired by India have been meeting American officials, including President Trump himself, to explain New Delhi’s side and to reduce tensions. This behind-the-scenes diplomacy has likely helped calm the situation.

The Bigger Picture

The India-U.S. relationship has always had ups and downs. While there are disagreements over trade and energy, both countries understand the importance of staying partners. India is one of the world’s fastest-growing economies and a key player in Asia, while the U.S. is a global superpower that wants allies to balance China and Russia.

Trump’s latest statement, combined with Modi’s positive reply, shows that the two sides are trying to repair trust and ensure that temporary disputes do not damage their long-term partnership.

For now, both leaders are sending a message that friendship matters more than disputes. While the tariff issue and oil purchases remain challenges, the willingness to talk and the personal bond between Trump and Modi may help the two countries find common ground.

If trade talks move in a positive direction, this could mark a fresh chapter in India-U.S. ties, restoring confidence between two of the world’s largest democracies.

India-U.S. trade talks