Modi US Visit 2025 Focuses on Trade Defense and Energy Talks with Trump

Washington, D.C. – Indian Prime Minister Narendra Modi is set to begin a two-day visit to the United States on Wednesday, where he is expected to discuss key trade and economic issues with U.S. President Donald Trump. The agenda will likely focus on reducing trade tariffs, increasing energy imports, strengthening defense cooperation, and ensuring fair market access for both nations.

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Modi’s visit comes at a crucial time, as the U.S. has threatened reciprocal tariffs, including a 25% duty on steel and aluminum imports, which could impact India’s export-driven industries. By proposing deeper trade collaboration, Modi aims to mitigate trade tensions and expand economic ties between the two countries.

Key Issues on the Agenda:

Expanding Energy Trade

India is expected to propose an increase in energy imports from the U.S., which have already exceeded $11 billion in the first 11 months of 2024. As the world’s fourth-largest importer of liquefied natural gas (LNG), India is keen on securing long-term supply agreements with U.S. companies.

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GAIL India Ltd, a state-run gas company, is exploring the possibility of acquiring a stake in a U.S. LNG plant or signing additional long-term supply contracts. This move aligns with India’s strategy to diversify its energy sources and reduce dependency on a single supplier.

Strengthening Defense Collaboration

Defense cooperation will be a key focus during Modi’s visit, with discussions expected on new military equipment purchases and co-production agreements.

• India is in negotiations for the co-production of General Dynamics' Stryker combat vehicles to enhance its defense manufacturing capabilities.

• Officials from Hindustan Aeronautics Ltd (HAL) will meet with General Electric’s aerospace division to finalize a fighter jet engine deal, which could significantly boost India’s defense sector.

Addressing Immigration and Visa Issues

Another critical topic will be the deportation of illegal Indian immigrants from the U.S. and India’s concerns regarding their treatment.

Additionally, the U.S.-India Strategic Partnership Forum (USISPF) is working on preventing H-1B visa misuse while advocating for an increase in legal migration opportunities to address the U.S. labor shortage in specialized fields.

Market Access and Trade Tariffs

Market access remains a contentious issue, with U.S. businesses seeking a level playing field in India. The U.S. government is expected to push for lower import tariffs on American products to facilitate a more balanced trade relationship.

• Elon Musk is scheduled to meet with Modi to discuss the entry of Tesla into the Indian market and the expedited approval of Starlink satellite internet services.

• India, in turn, will highlight its commitment to attracting U.S. investments in sectors such as manufacturing, insurance, and technology.

Boosting Indian Investments in the U.S.

India will propose greater investment opportunities for Indian businesses in the U.S., emphasizing their contributions to industries such as steel, textiles, and contract manufacturing. With billions of dollars already invested, India aims to further strengthen economic collaboration with American industries.

Strategic Cooperation and Indo-Pacific Security

Beyond trade and investment, Modi’s visit is expected to reinforce strategic partnerships between India and the U.S., particularly in the Indo-Pacific region. With growing geopolitical tensions, India seeks to deepen security and economic ties with the U.S. to counter emerging global challenges.

Also Read: Indian Oil Companies in Talks to Buy U.S. LNG to Boost Energy Supply