Trump administration Vice President J.D. Vance announced on Tuesday that the United States and India have come to an agreement on the terms of reference for a new trade deal after the VP visited with the nation’s Prime Minister Narendra Modi.
Both Modi and Vance declared “significant” progress in the trade negotiations and mentioned working together on energy, defense and strategic technologies.
The move signals a crucial step towards “realizing President Trump’s and Prime Minister Modi’s vision” for a deal between the two nations, the VP added.
The vice president said the Trump administration is seeking to “rebalance global trade” with ongoing tariff negotiations, claiming it “want[s] to partner with people and countries” and create “a system of global trade that is balanced, one that is open, and one that is stable and fair.”
Vance took his family on the trip to New Delhi as seen in pictures shared by Modi on social media.
The discussions come amid President Trump’s tariff agenda seeking to level the economic playing field after decades of foreign countries ripping of the U.S.
Trump hit India with a 26% reciprocal tariff earlier this month before dropping the number to 10% just days later.
U.S. Trade Representative Jamieson Greer said Monday there is currently “a serious lack of reciprocity in the trade relationship with India,” but that Modi’s “constructive engagement so far has been welcomed.”
“I look forward to creating new opportunities for workers, farmers, and entrepreneurs in both countries,” he added.
The positive development hints that India is preparing to side with America in the ongoing global trade war.
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