Modi did not call Trump, US-India trade deal delayed

JAKARTA - The United States-India trade deal is delayed because Indian Prime Minister Narendra Modi did not call US President Donald Trump.

This statement was made by US Trade Minister Howard Lutnick amid the failure of the two countries to complete a trade agreement last year, which prompted the Trump administration to impose higher tariffs on goods originating in India.

Lutnick said he had asked the Indians during negotiations for Modi to call Trump because the US President was the final arbiter of the trade deal.

"So I said, 'You have to involve Modi. Everything is ready. You have to ask Modi to call the president,'" Lutnick said, quoted by ANTARA from Anadolu.

He said the Indian side felt uncomfortable conveying this to Modi.

"So Modi didn't call," Lutnick said.

The US government then imposed a tariff of 50 percent on imports from India. One of the reasons is that India continues to buy Russian oil amid the war in Ukraine.

Trade talks between the two countries resumed in September after US Trade Representative Assistant Brendan Lynch met with Indian officials in New Delhi.

On Friday, the Indian government denied Lutnick's statement. They stated that they had committed to negotiating a bilateral trade agreement with the US "since February 13 last year."

"On several occasions, we were close to reaching an agreement. The characterization of the discussions in the reported statement [Lutnick] is inaccurate," the Indian government said in its statement.

India also said Trump and Modi had spoken eight times last year.

"We remain interested in a mutually beneficial trade deal between the two complementary economies and look forward to its conclusion," the statement said.

Regarding the US draft law (RUU) on sanctions against Russia, India said its position "is guided by the evolving dynamics of the global market and the need to secure energy at affordable prices."

US Senator Lindsey Graham said Trump had given the "green light" to the bill.

The bill, Graham said, "will give President Trump a big leverage over countries like China, India, and Brazil to encourage them to stop buying cheap Russian oil that is a source of funding" for the country.

China rejected the US move and said its trade ties with Russia should not be disturbed.

India has increased its purchases of Russian crude at discounted prices since 2022 despite sanctions from the West.

The United States is still India's largest trading partner with total trade in goods and services reaching around US$212.3 billion (around Rp3,577.5 trillion) in 2024.

Trump earlier said Modi had asked to meet him to discuss buying defense products.

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Tag: internasional donald trump narendra modi tarif dagang as amerika serikat india