Trump’s birthday call to Modi amid US-India trade talks

BBC:

US President Donald Trump has called Indian Prime Minister Narendra Modi to wish him ahead of his 75th birthday, after weeks of tension between their countries over tariffs.

The phone call on Wednesday, seen as a sign of thawing ties, came at the end of a day of India-US talks on reaching a trade agreement, which both sides called “positive”.

Trump posted later on X saying Modi was doing a “tremendous job” and thanked him for support on “ending the Russia-Ukraine war”. Modi called him a “friend” and said the two were “committed” to taking their partnership to new heights.

This was the first call between the two since US announced 50% tariffs on India last month.

Trump said half of the 50% tariff was a penalty for Delhi’s purchase of Russian oil and weapons. India has defended its decision, citing domestic energy needs and called the tariffs “unfair”.

The exchange of sharp words between the two sides saw negotiations on the bilateral trade deal stalled.

On Tuesday, a team led by US trade negotiator Brendan Lynch held talks in Delhi with officials from India’s commerce ministry.

India’s exports to the US fell to $6.86bn (£5.03bn) in August from $8.01bn (£5.87bn) in July, Reuters reported quoting Indian trade ministry data.

Tuesday’s meeting between Indian and US trade officials did not mark the start of the next round of trade negotiations, Delhi said, but a “discussion” about “trying to see” how an agreement can be reached.

While Trump has expressed optimism about trade talks with India, he has also not backed down on the high tariffs imposed on the country.

Last week, the US president called on the European Union to hit China and India with tariffs of up to 100% to force Russian President Vladimir Putin to end the war in Ukraine.

The comments came just as India said it was close to finalising large parts of its free trade agreement with the EU.