Washington/New Delhi, April 22, 2025 - US Vice President JD Vance met with Indian Prime Minister Narendra Modi on Monday during his four-day visit to India, marking a significant step toward finalizing a new trade agreement between the two countries. Both leaders expressed optimism about the progress made in ongoing negotiations aimed at strengthening economic ties.
Significant Progress in Trade Negotiations
According to statements from both the Indian Prime Minister’s office and Vice President Vance’s team, the discussions yielded “significant progress” in the first phase of a trade deal. The talks are focused on crafting a modern agreement designed to promote job creation and improve citizen well-being in both nations.
Vance’s office highlighted the meeting as an opportunity “to negotiate a new and modern trade agreement focused on promoting job creation and citizen well-being in both countries.” Meanwhile, India’s Ministry of Commerce and the US Trade Representative’s office confirmed that they have finalized the Terms of Reference, setting the roadmap for the upcoming phases of reciprocal trade negotiations.
Broader Cooperation on Strategic Issues
Beyond trade, the two leaders discussed expanding cooperation in key sectors such as energy, defense, and strategic technologies. Modi’s office emphasized the importance of these discussions in deepening the bilateral partnership between the United States and India.
Context of the Visit
Vice President Vance’s trip to India is a mostly personal one, accompanied by his wife Usha whose parents hail from India and their children. However, the visit also carries diplomatic weight as India aims to secure an early trade deal before the expiration of a 90-day tariff pause initiated by former President Donald Trump’s administration.
Additionally, Vance’s visit is seen as laying the groundwork for a potential visit by Trump later this year to India, where he is expected to attend the summit of Quad leaders, a strategic grouping that includes India, the US, Australia, and Japan.
Looking Ahead
The progress reported during Monday’s talks signals a positive trajectory for US-India trade relations, with both sides committed to advancing negotiations and broadening cooperation in multiple sectors. As the roadmap for future discussions is now in place, stakeholders from both countries will be closely watching the developments that could reshape economic and strategic ties in the coming months.
