Trump, Modi to speak on trade in coming weeks

Headline

Trump Says U.S., India Continue Talks on Trade Barriers, Anticipates Modi Call in Coming Weeks

Body Summary

On September 9, 2025, U.S. President Donald Trump stated that his administration is continuing negotiations with India to address trade barriers and expressed optimism about reaching a mutually beneficial agreement He mentioned looking forward to speaking with Indian Prime Minister Narendra Modi in the “upcoming weeks” and conveyed confidence that both countries could successfully conclude talks 

Despite this optimistic tone, tensions remain. Trump recently doubled tariffs on Indian imports to 50%, a move that India’s chief economic adviser warned could reduce India’s GDP by approximately 0.5% . The tariffs were imposed after India continued purchasing oil from Russia, defying U.S. pressure amid the Ukraine conflict 

Additionally, Trump has urged the European Union to impose 100% tariffs on imports from India and China, part of a strategy to pressure Moscow by targeting its major oil buyers . Bilateral goods trade between the U.S. and India reached $129 billion in 2024, with the U.S. running a $45.8 billion trade deficit

My Perspective

This development signals a notable shift in tone from President Trump—moving from escalation toward a more diplomatic posture in the U.S.–India trade relationship. While the expression of optimism and intent to communicate with Prime Minister Modi could pave the way for easing tensions, the underlying friction remains real and consequential.

The 50% tariffs and the negative economic forecast for India highlight that any resolution will require strategic concessions on both sides. India’s GDP risk and the strain on its export-driven sectors cannot be ignored, especially when global competitors stand ready to fill the gap.

source : Trump, Modi to speak on trade in coming weeks | Reuters