“Happy Birthday” Diplomacy: Trump–Modi
US President Donald Trump said he called Indian Prime Minister Narendra Modi to wish him a happy birthday and thank him for his “support in ending the Russia-Ukraine war.” At the same time, India and the US called the latest round of trade talks in New Delhi “positive” and pledged to expedite a deal. This signaled a thaw in tensions after months of tense relations.
However, the context remains tense: last month, Washington doubled import duties on Indian goods to 50% to pressure New Delhi over its purchases of Russian oil. White House trade adviser Peter Navarro even called the Ukraine conflict “Modi’s war,” pressuring India to halt Russian oil imports.
Indian financial markets responded warmly. Major stock indices (Nifty 50 and Sensex) opened higher, while the rupee strengthened to a more than two-week high on optimism about trade talks and expectations of a Fed interest rate cut.
Looking ahead, both sides pledged to intensify negotiations, but key issues remain: Russian energy purchases and access to India’s agricultural/dairy markets. On the other hand, Washington is pushing its G7 allies and the European Union to consider additional tariffs on China and India related to Russian oil—a factor that could complicate the path to a deal. (ayiu)
Source: Newsmaker.id
