Washington, D.C. – At the White House, President Donald Trump and PM Narendra Modi deeply addressed matters related to defense, trade, technology, energy, and multilateral cooperation. The meeting came mere hours after President Trump unveiled a new policy of reciprocal tariffs that target each trading partner of the US, India included.
The leaders introduced a new initiative COMPACT (Catalyzing Opportunities for Military Partnership, Accelerated Commerce & Technology for the 21st Century), seeking to enhance bilateral relations in several critical sectors. A new ten-year framework of the US-India Major Defense Partnership also emerged. It includes the purchase upon license of US defense systems in India. Primary purchases are the Javelin anti-tank missiles, Stryker armored fighting vehicles, and six more P8I naval reconnaissance airplanes.
The two countries also agreed to review the International Traffic in Arms Regulations (ITAR) to simplify transferring technologies and supplying spare parts. Negotiations have also begun on the Reciprocal Defense Procurement (RDP) agreement designed to govern mutual and reciprocal purchases for national defense. Additionally, the US initiated a review of policy on the transfer of fifth-generation fighter aircraft and undersea warfare systems to India.
Further, the two parties established the Autonomous Systems Industry Alliance (ASIA) to increase collaboration within the industry regarding Underwater Domain Awareness (UDA) technologies. The Indo-American partnership reached new heights when the two nations agreed to collaborate on the development of UDA technologies. Several joint development initiatives were made public, which included the Sea Picket Autonomous Surveillance Systems, Wave Glider Unmanned Surface Vehicles, and Large Diameter Autonomous Undersea Vehicles.
Boosting Trade and Economic Ties
The leaders under the “Mission 500” initiative set a new bilateral trade target of $500 billion by 2030. As part of the plan, a bilateral trade agreement (BTA) is to be established by the fall of 2025 to facilitate trade by removing trade barriers like reciprocal tariffs. The US accepted the claim of $7.355 billion worth of Indian investments in which over 3,000 high-quality jobs would be created. However, these trade discussions were held under the clouds of Trump’s recently introduced 25% global tariff on steel and aluminum imports, which is likely to hinder Indian exports.
Technology and Energy Cooperation
The two countries launched the TRUST (Transforming the Relationship Utilizing Strategic Technology) initiative which aims to strategically with technologies in cooperation. A US-India AI Roadmap will be completed by Kohler at the end of the year along with promises to further AI processing and data centers. Other initiatives include INDUS Innovation, Indian drug manufacturing expansion to the USA, and a Strategic Mineral Recovery campaign to extract and process technologies rare earth elements.
In the energy sector, PM Modi and President Trump recommitted to the India-US Energy Security Partnership. The two sides agreed to advance India’s membership in the International Energy Agency (IEA), implement the 123 Civil Nuclear Agreement for US-designed reactors in India, and collaborate on small modular reactors to scale up nuclear energy production.
Strengthening People-to-People Ties and Global Cooperation
Both leaders committed to expanding joint education programs, streamlining student and professional mobility, and combating organized crime and human trafficking. They also condemned Pakistan’s failure to act against terrorism and announced the extradition approval of 26/11 convict Tahawwur Rana to India.
President Trump praised PM Modi at a joint press conference, calling him a “great leader” and “a much better negotiator” than himself. The meeting marked PM Modi’s 10th visit to the US as Prime Minister and the fourth with President Trump.
Adani & Bangladesh Developments
During the joint press conference, PM Modi addressed the issue of bribery charges against billionaire Gautam Adani, which the US government had raised. When questioned, PM Modi stated that the charges against Adani were “personal matters” and not a topic of discussion between the two national leaders. He emphasized that India is a democratic country that believes in the philosophy of ‘Vasudhaiva Kutumbakam’—the world as one family—and that such individual legal matters do not form part of diplomatic dialogues.
Meanwhile, President Trump commented on the political situation in Bangladesh, stating, “I’ll leave Bangladesh to PM Modi.” Reports emerged that Bangladesh’s former Prime Minister Sheikh Hasina had fled to India after being ousted by a student uprising. The Bangladesh Nationalist Party (BNP) has called for her extradition to stand trial for alleged human rights violations. The Bangladesh Foreign Ministry has reiterated its extradition request, pending a diplomatic decision between the two nations.
Addressing a joint press conference, President Trump lauded PM Modi’s negotiation skills, calling him a “much tougher and better negotiator” than himself. Modi emphasized the shared vision of a prosperous future, linking Trump’s “MAGA” slogan with India’s “MIGA—Make India Great Again.” The meeting underscored a deepening strategic partnership between the two nations, reinforcing their roles as global economic and security leaders.
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