Trade Tensions: US and India Face Off Over Unsealed Deal

India refuted comments by US Commerce Secretary, Howard Lutnick, suggesting a trade deal with the US floundered because PM Modi didn't call President Trump. Despite tariffs and diplomatic hurdles, India remains keen on a beneficial trade pact. Both nations hold sporadic dialogues amidst fluctuating geopolitical relations.

The Indian government on Friday dismissed as inaccurate remarks made by US Commerce Secretary Howard Lutnick, who cited a failed phone call from Prime Minister Narendra Modi to President Donald Trump as a reason for the stalled trade agreement between the two countries last year.

New Delhi continues to express eagerness for a balanced trade deal, despite hurdles driven by tariffs imposed by President Trump on Indian goods, including elevated duties on Russian oil imports. The two leaders reportedly exchanged phone conversations eight times in 2025, covering various partnership issues.

The strained trade negotiations, further complicated by geopolitical dynamics, underscore the challenging phase in India-US relations—a phase marked by differing stances on energy sourcing, international collaborations, and varying global priorities.

(With inputs from agencies.)