To Survive Tariffs, Modi Brings “Gifts” to Trump Meeting

WASHINGTON DC, THURSDAY - Indian Prime Minister Narendra Modi came bearing "gifts" when he met with United States President Donald Trump in Washington DC, Thursday (2/13/2025). Armed with tariff cuts, new business deals, and the prospect of cooperation against China, he hopes to win Trump's heart.

In less than a month in office, Trump has already hit friendly and hostile countries with tariff hikes, aka import duties (IDUs), raising concerns about a trade war. Therefore, India is on tenterhooks.

In his first term as president (2017-2021), Trump had a warm relationship with Modi. However, he called India a “tariff king” in trade so that India lowered its tariffs. In general, India is still “safe” from the blow of Trump’s Tariffs because it is indirectly affected.

Modi is the fourth world leader to meet Trump since he became the US president. Ahead of the meeting with Trump, Indian officials said on condition of anonymity that Modi had prepared a series of promises, including increasing imports of liquefied natural gas and buying combat vehicles and jet engines.

Modi also prepared other options, including trade negotiations, namely US agricultural imports to India, nuclear energy investment, and tariff cuts in sectors such as electronics, medical and surgical equipment, and chemicals. "That is a 'gift' to Trump," said one of the sources.

In return, Modi wants help with the case of billionaire friend Gautam Adani. Adani was indicted by the US Justice Department in November 2024 over an alleged bribery scheme. Adani has denied wrongdoing. Another thorny issue could emerge: an alleged Indian intelligence plot to assassinate a Sikh activist in the US during the administration of Trump’s predecessor, Joe Biden.

“So far India has managed to escape direct tariff pressure from the new Trump administration and that is a positive sign. Modi needs to convince Trump that India is playing a fair game in trade and, therefore, India should be treated differently,” Biswajit Dhar, professor of economics at the Council for Social Development in New Delhi, told Al Jazeera.

The US is India's largest trading partner. However, the US has a trade deficit of $45.6 billion in India's favor. Overall, the US's trade-weighted average tariff is about 2.2 percent, according to World Trade Organization (WTO) data, compared with India's 12 percent.

Richard Rossow, head of the India program at the Center for Strategic and International Studies, a Washington think tank, added that the meeting was like a boxing match. “I think India is willing to take some punches, but there are limits,” he said.

Trump wants more help from India on illegal immigration. India is a major source of immigrants to the US, including tech workers on work visas and others who come illegally. Last week, Modi took back 104 migrants who were sent back by US military planes.

For the US, under both Democratic and Republican presidents, India is a critical partner in containing China in the Indo-Pacific. India is wary of its neighbor China’s growing military might and is competing for many of the same markets.

“While much of the discussion will revolve around bilateral relations, trade, immigration, defense purchases, the China thread will be woven into the meeting,” said Lisa Curtis, an analyst at the Center for a New American Security and a former White House official during Trump’s first term.

India tends to avoid direct confrontation with China. Modi maintains a foreign policy of “strategic ambiguity” to avoid taking sides in international conflicts. As a result, India has remained in touch with Russia during the Ukraine-Russia war, buying Russian energy as Western countries have cut consumption since the war.

This year, Trump may visit India. India will host the Quad meeting of the US, Australia, India and Japan. Trump strongly supports the group to counter China.

Trump reportedly does not like to travel internationally. However, as quoted by the BBC, he is likely to go to India to deepen his personal relationship with Modi and advance the bilateral partnership. Trump was in India in 2020.

Modi is expected to meet with Elon Musk. Musk is a billionaire, owner of Starlink, Trump campaign donor, and head of the Department of Government Efficiency (DOGE). Starlink is trying to enter the South Asian market.

The White House said Trump and Modi will hold a press conference on Thursday (2/13/2025) local time. Modi is not used to press conferences, but has been willing to do interviews occasionally, especially during election times.

Modi has not held a single press conference in India since becoming prime minister in 2014. In May 2019, he attended a press conference but did not take questions. He last held a press conference with US President Joe Biden in 2023.

Modi has traditionally avoided highlighting the discrimination against Muslims and other minorities in India. In that 2023 session with Biden, for example, Modi denied religious discrimination in India when answering a question.

The claim has been denied by human rights advocates who have documented abuses against minorities in India. The journalist who raised the question was then attacked online by Modi supporters. The Biden administration has condemned the attacks. (AP/AFP/Reuters)