New Delhi, Dec. 11 -- Prime Minister Narendra Modi and United States President Donald Trump held a phone conversation on Thursday to review the state of bilateral ties, while negotiators from both countries concluded two days of discussions aimed at finalising a long-awaited trade agreement. The call took place amid indications that New Delhi and Washington are moving closer to resolving differences that have strained economic relations in recent months.
Modi described the interaction as "warm and engaging" in a social media post. He wrote, "We reviewed the progress in our bilateral relations and discussed regional and international developments. India and the US will continue to work together for global peace, stability and prosperity." His remarks did not directly touch on trade, though officials said the subject featured prominently in the leaders' discussion.
The proposed trade pact is expected to ease pressure on India arising from the Trump administration's decision to raise tariffs on Indian goods to 50 per cent in August. The increase included an additional 25 per cent duty linked to India's imports of Russian crude oil. The tariff escalation marked one of the sharpest downturns in recent India-US commercial relations and was accompanied by repeated criticism of New Delhi from senior American officials. Efforts to repair ties have gathered pace over the past few weeks.
On Tuesday, US Trade Representative Jamieson Greer stated that Washington had received the "best" offers so far from India regarding the proposed agreement, although he did not divulge further details. Modi and Trump last spoke in October, and Thursday's call was aimed at maintaining continuity in dialogue as both sides work toward firming up the emerging trade framework.
According to an Indian readout, the two leaders reviewed steady progress in bilateral relations and exchanged views on regional and global issues. They reiterated that India and the United States would continue to work closely to advance peace, stability and prosperity worldwide. Officials familiar with the conversation said Modi and Trump discussed India-US cooperation across trade, critical technologies, energy, defence and security within the framework of the India-US COMPACT, which focuses on expanding military partnership, accelerated commerce and technology collaboration for the 21st century.
Both leaders agreed to sustain momentum in efforts to enhance bilateral trade and expressed satisfaction at the strengthening of cooperation across multiple sectors. They also reviewed the India-US comprehensive global strategic partnership and discussed ways to address shared challenges while pursuing common interests.
The talks took place as the United States continues pressing India to reduce its purchases of Russian crude oil, arguing that Moscow uses oil revenue to support its war against Ukraine. After Western nations imposed sanctions on Russia and halted most imports following the February 2022 invasion, India increased buying discounted Russian crude. Russia's share in India's total oil imports rose from 1.7 per cent in 2019 to 20 to 35.1 per cent in 2024 to 25, making it India's largest supplier. However, India's procurement of Russian crude has declined in recent weeks following US sanctions on two major Russian oil companies.
Published by HT Digital Content Services with permission from Millennium Post.