In a significant diplomatic gesture, Modi also expressed support for Trump’s initiative to push for peace in the ongoing Russia-Ukraine conflict. He said India backed “all constructive efforts toward a peaceful resolution.”
Trump later shared details of the call on his platform, Truth Social, calling it a “wonderful conversation” with Modi. “I wished him a very Happy Birthday! He is doing a tremendous job. Narendra: Thank you for your support on ending the war between Russia and Ukraine,” Trump wrote.
The call comes at a critical juncture in global diplomacy. While the US has pressured several countries to curb Russian oil imports, India has continued sourcing energy from Moscow, citing affordability and energy security. Trump’s acknowledgment of Modi’s support signals an effort to balance bilateral tensions with strategic cooperation.
Tariffs Strain India-US Ties
This phone call was the first since Trump’s administration levied an additional 25% tariff on Indian goods in June, raising the total levy to 50%. The move was widely seen as retaliation for India’s continued oil trade with Russia.
Despite the strain, both nations remain invested in sustaining the strategic partnership. According to officials, Washington sees New Delhi as a vital counterbalance to Beijing in the Indo-Pacific, while India continues to count on US support for advanced technology transfer and investment.
Trade Talks Resume in New Delhi
Coinciding with the leaders’ interaction, senior officials from India and the US resumed trade negotiations in New Delhi on Tuesday. This was their first in-person meeting since the tariff hike, lasting nearly seven hours.
The US delegation, led by Chief Negotiator Brendan Lynch of the Office of the United States Trade Representative (USTR), met with a Commerce Ministry team led by Special Secretary Rajesh Agarwal. Officials described the talks as “constructive and forward-looking.”
Both sides agreed to intensify efforts to finalise a long-pending bilateral trade agreement “at the earliest,” according to the Indian Commerce Ministry. While tariffs and energy imports remain points of contention, negotiators signaled optimism about narrowing differences.
The discussions also align with Washington’s recalibrated focus, which now places greater pressure on European nations to reduce reliance on Russian energy. This shift could provide New Delhi more room to negotiate its position while strengthening broader ties with the US.
Way Forward
The combination of warm birthday greetings, peace dialogue, and resumed trade talks underscores an important phase in India-US relations. Though tariff disputes and geopolitical pressures remain, the outreach by both leaders suggests willingness to reset ties on a cooperative note.
As New Delhi and Washington continue their negotiations, the outcome will not only shape economic relations but also influence broader geopolitical dynamics in Asia and beyond.