Prime Minister Narendra Modi met with US President Donald Trump at the White House for crucial discussions on defence, trade, technology, energy, and multilateral cooperation. The meeting, which followed PM Modi’s visit to France, occurred shortly after President Trump introduced a new reciprocal tariff policy affecting all US trading partners, including India.
During the meeting, the two leaders launched the COMPACT initiative (Catalyzing Opportunities for Military Partnership, Accelerated Commerce & Technology for the 21st Century), which aims to enhance cooperation in defence, trade, technology, energy, and multilateral partnerships.
Here are the major outcomes of the meeting:
Defence:
- A new 10-year framework for the US-India Major Defence Partnership will be signed later this year, with new deals for Javelin anti-tank missiles, Stryker armoured vehicles, and six additional P8I maritime surveillance aircraft.
- The International Traffic in Arms Regulations (ITAR) will be reviewed to streamline technology transfers and spare parts supplies.
- Negotiations for a Reciprocal Defence Procurement agreement will begin to facilitate mutual defence purchases.
- The US and India will accelerate defence technology collaboration, with a focus on space, air defence, missile systems, maritime, and undersea warfare, including a review of releasing fifth-generation fighter jets to India.
- The two nations launched the Autonomous Systems Industry Alliance (ASIA) to co-develop underwater domain awareness (UDA) technologies, with India being the first country to collaborate with the US on sensitive UDA technologies.
- Ongoing talks about joint development of various autonomous surveillance systems and undersea vehicles.
Trade:
- The leaders set a new trade goal, “Mission 500,” aiming to increase bilateral trade to $500 billion by 2030.
- A bilateral trade agreement is expected by autumn 2025, which will address multiple sectors and trade barriers, including reciprocal tariffs.
- Indian investments of $7.355 billion in the US, supporting 3,000 high-quality jobs, were acknowledged.
- Trade talks occurred against the backdrop of Trump’s 25% tariffs on global steel and aluminium imports, which could affect Indian exports.
Technology:
- India and the US announced the TRUST (“Transforming the Relationship Utilizing Strategic Technology”) Initiative to promote partnerships in emerging technologies.
- A US-India AI Roadmap will be finalized by the end of the year, and next-generation data centres and AI partnerships were also highlighted.
- The launch of INDUS Innovation, based on INDUS-X, to enhance collaboration in space, energy, and biotechnology.
- Expansion of Indian pharmaceutical manufacturing in the US, focusing on critical medicines.
- A Strategic Mineral Recovery initiative to process rare earth minerals, lithium, and cobalt for high-tech industries.
- A new MoU was signed between the US National Science Foundation and India’s Anusandhan National Research Foundation to boost research collaboration in emerging technologies.
Energy:
- Both leaders reaffirmed their commitment to the India-US Energy Security Partnership, with plans to support India’s full membership in the International Energy Agency (IEA).
- Progress was made on the India-US 123 Civil Nuclear Agreement, which will enable US-designed nuclear reactors in India.
- There will be cooperation on advanced small modular reactors to scale up nuclear energy production.
People-to-People Ties:
- The leaders pledged to expand joint degrees, offshore campuses, and Centres of Excellence, with India’s 300,000-strong student community in the US contributing over $8 billion annually to the US economy.
- They discussed streamlining student and professional mobility while addressing issues such as illegal immigration and human trafficking.
- Strengthening law enforcement cooperation to combat organized crime, drug trafficking, and terrorism was also a priority.
Multilateral Cooperation:
- Both leaders condemned Pakistan’s failure to take action against terrorist networks, calling for accountability for the 26/11 Mumbai and Pathankot attacks.
- Trump announced the approval of the extradition of 26/11 convict Tahawwur Rana to India.
- PM Modi is set to host President Trump for the next Quad Leaders’ Summit, which includes India, the US, Japan, and Australia.
- New initiatives will be introduced in 2025 under the India-Middle East-Europe Corridor (IMEC) and I2U2 Group.
- The Indian Ocean Strategic Venture will foster economic and security cooperation.
- Meta also announced a 50,000 km undersea cable project.
