1 day ago
Last Updated:June 03, 2025, 08:46 IST
US Commerce Secretary Howard Lutnick praised PM Narendra Modi and expressed optimism about a forthcoming US-India trade deal.
PM Narendra Modi with US President Donald Trump (Photo: AP)
Howard Lutnick, US Secretary of Commerce, on Tuesday praised Prime Minister Narendra Modi and said he was optimistic for a trade deal between India and the United States.
Speaking at the US-India Strategic Partnership Forum Annual Leadership Summit in Washington, DC, Lutnick also said President Donald Trump deeply admires and respects India.
“We have a great relationship between our countries. I’m optimistic for a trade deal soon that will benefit both nations," Lutnick said at the Summit.
“You should expect a deal between the United States and India in the not-too-distant future because I think we found a place that really works for both countries," he added.
“President Donald Trump is the only person in our administration elected by the full United States of America, and so is Prime Minister Modi in India. If you think about the world, how many other leaders have actually been elected by their country? Very, very rare, so that connection is pretty unique because it’s rare," he said.
“So their (Trump and PM Modi’s) relationship is very strong and very positive. That gives me an easy path to trade negotiations because we start from a very positive place," Lutnick added.
Also speaking about Donald Trump’s ‘America First’ doctrine, Lutnick said, “The President thinks America first, but he does not think America only or America exclusively."
“First, he’s got to take care of home, so we’re big and strong. But then he’s going to take care of his allies. He is going to make sure he takes care of India, which he deeply, deeply admires and respects, and we are going to have a great, great relationship together," the US Commerce Secretary said.
At the Summit, Howard Lutnick also spoke about the revolution of Artificial Intelligence and said the United States was looking forward to embracing India as a partner and friend.
“We love our allies and want our allies to participate in the AI revolution with us. If India is interested, which of course it is, and it wants to build giant data centres and be a part of that model, we are ready, willing, and look forward to embracing India as a partner and friend," Lutnick said.
“The Joe Biden administration had a very constrained view, and the Trump administration’s view is to embrace allies. Have your allies join you in the AI revolution. We are willing to sell our best chips. But they have to be done in certain ways so they can’t end up in the hands of those that we don’t want to have them," he added.
INDIA’ STANCE ON TRADE DEAL WITH THE US
On Monday, Commerce Minister Piyush Goyal, who is in Paris on an official visit to hold talks with French leaders and business representatives to boost trade and investments, said India and the US desire to give preferential market access to each other’s businesses.
Piyush Goyal also said teams of both countries are working together on the proposed bilateral trade agreement.
When asked about an announcement by Trump to double tariffs on steel and aluminium to 50 per cent, Goyal told reporters that the two countries will continue to work together to resolve all these issues bilaterally.
INDIA-US TRADE TIES
In February, Trump and Prime Minister Modi announced plans to negotiate the first tranche or phase of a mutually beneficial, multi-sector Bilateral Trade Agreement (BTA) by fall (September-October) of 2025.
It is aimed at more than doubling the bilateral trade to USD 500 billion by 2030 from the current level of USD 191 billion.
On May 30, Trump announced that he would double the existing 25 per cent tariffs on steel and aluminium imports from June 4.
Trade experts have stated that the further increase in the import duty by the Trump administration would impact Indian exporters, particularly those engaged in value-added and finished steel products and auto components.
Trump originally invoked this provision in 2018 to set the 25 per cent tariff on steel and 10 per cent on aluminium. He raised tariffs on aluminium to 25 per cent in February 2025.
In 2024-25, India exported USD 4.56 billion worth of iron, steel, and aluminium products to the US, with key categories, including USD 587.5 million in iron and steel, USD 3.1 billion in articles of iron or steel, and USD 860 million in aluminium and related articles.
India has already issued a formal notice to the World Trade Organisation (WTO), reserving its rights to impose retaliatory tariffs on US goods in response to the earlier steel tariffs.
Meanwhile, a team of US officials is visiting India this week for discussions on the proposed interim trade agreement between the two countries.
Vani Mehrotra is the Deputy News Editor at News18.com. She has nearly 10 years of experience in both national and international news and has previously worked on multiple desks.
Vani Mehrotra is the Deputy News Editor at News18.com. She has nearly 10 years of experience in both national and international news and has previously worked on multiple desks.
News india 'India-US Trade Deal Soon': Trump's Commerce Secy Howard Lutnick
