He is a good friend: Trump praises PM Modi, signals US-India trade deal
US President Donald Trump praised Prime Minister Narendra Modi and said the US and India would reach a trade deal, citing their strong ties. His remarks came as both sides advanced trade negotiations.
US President Donald Trump praised Prime Minister Narendra Modi and expressed confidence that the United States and India will reach a trade agreement, citing their strong personal relationship.
“I like your Prime Minister a lot. He is a good friend of mine, and we get along well. We have a good relationship,” Trump told reporters at White House while discussing trade ties between the two countries.
Trump said that despite past trade imbalances, he believes Washington and New Delhi will eventually strike a deal. He claimed that for years India benefited from its trade relationship with the US through high tariffs, but said the situation has now changed.
“For years, India took advantage of the United States. They charged us tremendous tariffs and paid nothing. Now it is the exact reverse and we are making a lot of money with India,” Trump said.
The US President's remarks come amid ongoing efforts by both countries to strengthen economic ties and address long-standing trade issues. Trump indicated that his positive relationship with Modi could help facilitate an agreement between the two sides.
“But we will get to a deal,” Trump said, expressing optimism about the future of US-India trade relations.
In February, following a phone conversation between US President Donald Trump and Prime Minister Narendra Modi, India and the United States issued a joint statement outlining the framework for the first phase of a Bilateral Trade Agreement (BTA), or interim trade deal.
Under the proposed framework, the US agreed to reduce tariffs on Indian goods to 18 per cent from 50 per cent.
Building on that understanding, India and the United States recently concluded four days of trade negotiations in New Delhi from June 1 to June 4. Officials from the Office of the United States Trade Representative (USTR), led by the agency's chief negotiator, held talks with Indian counterparts on a range of issues, including trade in goods, customs procedures, trade facilitation, non-tariff barriers and economic security cooperation.
Both sides described the discussions as productive and said efforts were continuing to finalise a mutually beneficial interim agreement, while work on a broader Bilateral Trade Agreement (BTA) also progresses.
Signs of an imminent breakthrough have grown in recent weeks. US Ambassador to India Sergio Gor said negotiations were in their final stages, with only a small portion of the agreement yet to be resolved. Commerce and Industry Minister Piyush Goyal has also indicated that most issues have been settled and discussions are focused on final details before the first tranche of the deal is announced.
Despite the progress, uncertainty remains as the Trump administration is considering imposing an additional 12.5 per cent tariff on imports from 60 economies, including India.
However, the negotiations face a potential hurdle from a separate USTR proposal that could impose additional tariffs on imports from India and several major trading partners. The review, conducted under Section 301 of the US Trade Act of 1974, covers 60 economies and is linked to concerns over imports allegedly connected to forced labour.
Under the proposal, economies that have adopted restrictions on such imports could face tariffs of 10 per cent, while those that have not implemented similar measures could be subject to duties of up to 12.5 per cent. India, China, Japan, South Korea, the United Kingdom, Bangladesh and Vietnam are among the economies included in the review.
US Trade Representative Jamieson Greer said countries that fail to address imports linked to forced labour create unfair conditions for American workers. Despite the tariff uncertainty, both India and the US have continued to signal optimism that an interim trade agreement can be concluded in the near term.
US President Donald Trump praised Prime Minister Narendra Modi and expressed confidence that the United States and India will reach a trade agreement, citing their strong personal relationship.
“I like your Prime Minister a lot. He is a good friend of mine, and we get along well. We have a good relationship,” Trump told reporters at White House while discussing trade ties between the two countries.
Trump said that despite past trade imbalances, he believes Washington and New Delhi will eventually strike a deal. He claimed that for years India benefited from its trade relationship with the US through high tariffs, but said the situation has now changed.
“For years, India took advantage of the United States. They charged us tremendous tariffs and paid nothing. Now it is the exact reverse and we are making a lot of money with India,” Trump said.
The US President's remarks come amid ongoing efforts by both countries to strengthen economic ties and address long-standing trade issues. Trump indicated that his positive relationship with Modi could help facilitate an agreement between the two sides.
“But we will get to a deal,” Trump said, expressing optimism about the future of US-India trade relations.
In February, following a phone conversation between US President Donald Trump and Prime Minister Narendra Modi, India and the United States issued a joint statement outlining the framework for the first phase of a Bilateral Trade Agreement (BTA), or interim trade deal.
Under the proposed framework, the US agreed to reduce tariffs on Indian goods to 18 per cent from 50 per cent.
Building on that understanding, India and the United States recently concluded four days of trade negotiations in New Delhi from June 1 to June 4. Officials from the Office of the United States Trade Representative (USTR), led by the agency's chief negotiator, held talks with Indian counterparts on a range of issues, including trade in goods, customs procedures, trade facilitation, non-tariff barriers and economic security cooperation.
Both sides described the discussions as productive and said efforts were continuing to finalise a mutually beneficial interim agreement, while work on a broader Bilateral Trade Agreement (BTA) also progresses.
Signs of an imminent breakthrough have grown in recent weeks. US Ambassador to India Sergio Gor said negotiations were in their final stages, with only a small portion of the agreement yet to be resolved. Commerce and Industry Minister Piyush Goyal has also indicated that most issues have been settled and discussions are focused on final details before the first tranche of the deal is announced.
Despite the progress, uncertainty remains as the Trump administration is considering imposing an additional 12.5 per cent tariff on imports from 60 economies, including India.
However, the negotiations face a potential hurdle from a separate USTR proposal that could impose additional tariffs on imports from India and several major trading partners. The review, conducted under Section 301 of the US Trade Act of 1974, covers 60 economies and is linked to concerns over imports allegedly connected to forced labour.
Under the proposal, economies that have adopted restrictions on such imports could face tariffs of 10 per cent, while those that have not implemented similar measures could be subject to duties of up to 12.5 per cent. India, China, Japan, South Korea, the United Kingdom, Bangladesh and Vietnam are among the economies included in the review.
US Trade Representative Jamieson Greer said countries that fail to address imports linked to forced labour create unfair conditions for American workers. Despite the tariff uncertainty, both India and the US have continued to signal optimism that an interim trade agreement can be concluded in the near term.
