PM Modi’s Visit to the United States of America

Prof. Kalpana Bora

(Gauhati University. She can be reached at kalpana.bora@gmail.com)

Prime Minister Narendra Modi recently concluded his two-day state visit to the United States of America, during February 13-14, 2025. The Ministry of External Affairs (MEA), Government of India, termed the bilateral talks during this visit as substantive and productive. The two leaders discussed key issues, including trade, tariffs, the extradition of the 26/11 Mumbai attacks accused, the Russia-Ukraine war, F-35 fighter planes, energy issues, and India’s border dispute with China.

PM Modi is the fourth foreign leader to visit the USA after Trump’s inauguration as President for the second term in January 2025. Today, India is well perceived by the USA as a member of a coalition of like-minded states and seen as a thriving nation in global dynamics. Both PM Modi and President Trump are strong global leaders and share a common thought process of working for the interests of their countries and peace, prosperity, and stability in the world.

The timing of this visit of PM Modi to the USA couldn’t have been better, keeping in view the complex dynamics through which the world is undergoing today. The Russia-Ukraine war, radicalism, conflicts in the Middle East, illegal migration all over the world, artificial intelligence, and energy are some of them. More so, because the whole world is watching President Trump, who is now working on policies like reciprocal tariffs, America First, MAGA (Make America Great Again), and a new approach on immigration. It may be noted that, ahead of PM Modi’s visit’s confirmation to the USA, they deported a first batch of 104 Indian illegal immigrants who boarded a military aircraft and again deported a second batch of 119 illegal Indian migrants on February 15. Trump has already imposed revised trade tariffs on China, Canada, and Mexico, so it is but natural for India to be anxious about what would be the new terms of our bilateral relations (India-USA) in a global scenario.

The two leaders are well known for their warm relations and share good chemistry. PM Modi received a warm welcome in the White House and drew positive compliments from President Trump, like a great leader, charismatic leader, tough, and better negotiator. Trump gifted PM Modi the book ‘Our Journey Together’ and wrote on it, “Mr. Prime Minister, you are great.” Setting these pleasantries aside, let’s now understand the highlights of this visit. The two leaders:

1. Agreed to draft a mutually beneficial, multi-sector bilateral trade agreement (BTA) by fall of 2025, ensuring fairness. Such future talks will focus on tariff rates, market access, and supply chain integration across goods and services. It gives India an opportunity and time to negotiate for reduced tariffs from both sides.

2. Signed a deal to make the US the top supplier of oil and natural gas to India. Military hardware exports to India will also be increased to narrow down trade deficits. It should be noted that the trade deficit between the US and India has been widening, with the United States importing $45.7 billion more from India than it exported in 2024. Both the leaders agreed to double the current trade to a new USD 500 billion (Mission 500) trade goal by 2030. The two sides will also work to increase trade in agricultural goods.

3. President Trump announced expanded US military sales to India from 2025, including stealth F-35 fighter jets. This will put India into the elite group of countries that own these fighter planes. They also launched a new initiative—the US-India COMPACT (Catalysing Opportunities for Military Partnership, Accelerated Commerce & Technology). A new ten-year framework for the US-India Major Defence Partnership in the 21st Century is to be signed this year.

4. President Trump confirmed that the USA has approved the extradition of the mastermind of the 26/11, 2008 terrorist attack on hotel Taj in Mumbai, Pakistani-Canadian Tahawwur Rana, to India. This gives a clear signal that the USA will not support people who promote anti-Indian sentiments or engage in such activities.

5. The two leaders committed to driving opportunities to make greenfield investments (when a company builds new facilities or starts a new business in a foreign country) in high-value industries in each other’s countries.

6. Launch of US-India The TRUST (Transforming the Relationship Utilising Strategic Technology) initiative will catalyse government-to-government, academia, and private sector collaboration to promote the application of critical and emerging technologies in areas like defence, artificial intelligence, semiconductors, quantum, biotechnology, energy, and space. This initiative will help in giving a push to the Indian government’s National Critical Mineral Mission, which encourages public and private sector companies to acquire critical mineral assets abroad. Critical mineral resources are vital to green technologies. Possibilities to welcome US nuclear technologies into the Indian market were also discussed.

7. Discussed the Russia-Ukraine war and are of the view that this war should be ended at the earliest. PM Modi said that India is not neutral on this war; India is on the side of peace.

8. Reaffirmed two nations’ commitment to a free, open, peaceful, and prosperous Indo-Pacific region and emphasized their support for ASEAN centrality, adherence to international law, and freedom of navigation, highlighting their shared vision for regional security and stability. They also talked about the launch of the “Indian Ocean Strategic Venture,” a new bilateral forum to advance coordinated investments in economic connectivity and commerce.

So, it appears, we bought some time for the formulation of trade and tariff terms, rather than hastily being imposed on us, which is good for India, as a robust economy is a gateway to development and global stature. However, not everything is so rosy! Though it is being observed that PM Modi and his team have been quick to recognise the changes unfolding in US domestic and foreign policies formulated by Trump and finding ways to get hold of the new possibilities emerging in Washington, challenges lie ahead. One of the challenges is to stimulate some reforms in the Indian bureaucracy and the government’s appetite for reforms to turn the new American opportunities into focused outcomes.

India’s tariff rates are higher than nearly any other country. So, if the USA imposes reciprocal tariffs, it could mean duties levied on Indian imports to the US will increase. This implies increased prices of these goods, which in turn would mean a reduced consumption of them in the USA. Hence, to bring the balance in trade between the two countries, the USA would aspire for more exports to India, implying that we need to spend more dollars. One more priority of President Trump is to promote “Make in USA,” which could also affect us.

Extradition of illegal migrants will be a symbiotic step, as lakhs of people in India are trapped by human traffickers and travel agents offering lucrative proposals to provide good jobs in the USA. Our people sell their hard-earned properties, take huge loans, and reach the USA through illegal means. This brings a bad name to our nation. With this money, our people can start small businesses in our own country and make a living respectfully. Not only that. Some of the illegal migrants who go from India to the USA are most wanted criminals in India. Such malpractices can’t be tolerated by any country. On the question of affairs about Bangladesh, President Trump replied that he leaves this issue to PM Modi.

What is good for India can be made to be good for the USA too. As PM Modi said, one plus one does not mean two; it means eleven—how to materialise it is to be worked out meticulously, wisely. Therefore, how PM Modi will succeed in negotiating tariff rates and trade policies that could mutually benefit both India and the USA would be a great challenge ahead. Any nationalist leader would wish to safeguard the self-interests of his country. It appears that President Trump also aims to bring stability and peace in the world that could usher in big changes in the dynamics of the world and a reduction in inflation worldwide. Maybe more production in the USA could stabilise prices globally. And India, under the leadership of PM Modi, is going to play a crucial role in this, as the USA knows that India is a nation that vouches for the progress and happiness of all, with her “Vasudhaivam Kumtumbakam.”