World

India's Modi to host JD Vance in Delhi under US tariffs shadow

Analyst says timing crucial as India-U.S. discuss trade deal while the U.S. president has continued to call India a "tariff abuser" and "tariff king"

Updated 1 year ago · Published on 21 Apr 2025 10:01AM

India's Modi to host JD Vance in Delhi under US tariffs shadow
PM Modi and Vance to review progress on bilateral agenda as tour seen as laying ground for Trump's visit later this year - April 21, 2021

UNITED STATES Vice President JD Vance begins a four-day visit to India on Monday and will hold talks with Prime Minister Narendra Modi, as New Delhi rushes to avoid steep U.S. tariffs with an early trade deal and boost ties with the Trump administration.

Reuters cited today that their discussions will cover the first day of Vance's largely personal visit to the country with his family, which includes visiting the Taj Mahal and attending a wedding in the city of Jaipur, people familiar with the matter said.

Vance's wife, Usha, is the daughter of Indian immigrants.

Modi and Vance are expected to review progress made on the bilateral agenda outlined in February when the Indian leader met President Donald Trump in Washington. It includes "fairness" in their two-way trade and growing their defence partnership.

The Indian prime minister was one of the first world leaders to meet Trump after he took office, and Reuters has reported that his government is open to cutting tariffs on more than half of its imports from the U.S., which were worth a total $41.8 billion in 2024, as part of a trade deal.

However, the U.S. president has continued to call India a "tariff abuser" and "tariff king".

"We are very positive that the visit will give a further boost to our bilateral ties," Indian foreign ministry spokesperson Randhir Jaiswal told reporters on Thursday, speaking about Vance's engagements in India.

The U.S. is India's largest trading partner and their two-way bilateral trade reached $129 billion in 2024, with a $45.7 billion surplus in favour of India, U.S. government trade data show.

Officials in New Delhi are expecting to clinch a trade deal with the U.S. within the 90-day pause on tariff hikes announced by Trump on April 9 for major trading partners, including Delhi.

Vance's tour in India is also seen as laying the ground for Trump's visit to the country later in the year for the summit of leaders of the Quad grouping that includes India, Australia, Japan and the U.S.

Harsh Pant, foreign policy head at the Observer Research Foundation think tank in Delhi, said the timing of Vance's visit was critical in the backdrop of trade talks.

"The fact that the US-China tensions are ramping up, and Vance in particular seems to have taken a very high-profile role in American diplomacy, also means that the visit assumes an added layer of significance," he said.

Vance will be accompanied by U.S. administration officials, but the two sides are unlikely to sign any deals during the visit, people familiar with the matter said.

India and the U.S. expect to ink a framework for defence partnership this year, while New Delhi also plans to procure and co-produce arms including Javelin anti-tank guided missiles and Stryker infantry combat vehicles, according to a joint statement issued after the February meeting.

Discussions on such procurements would be taken forward during U.S. Defense Secretary Pete Hegseth's expected visit to India in the next couple of months, people familiar with the matter said. - April 21, 2025

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