First Summit with Trump Scheduled for the 13th (Local Time)
Showcased "Bromance" During Trump's First Term
Negotiations on Tariffs and Trade Agreement... Likely to Raise the Issue of Illegal Immigrants
Prime Minister Narendra Modi is delivering a speech at the New Delhi headquarters on June 4 last year (local time). As Indian Prime Minister Narendra Modi is set to hold his first summit with U.S. President Donald Trump on the 13th (local time), he showed a conciliatory attitude by lowering his stance in advance in preparation for the U.S. tariff bill. Photo by Yonhap News
Indian Prime Minister Narendra Modi is set to hold his first summit with U.S. President Donald Trump on the 13th (local time), and ahead of potential U.S. tariff impositions, he has shown a conciliatory attitude by lowering expectations in advance. President Trump, who uses tariffs as a negotiation tool, has previously labeled India as a "major trade villain." In response, India has taken preemptive measures such as reducing import tariffs on large motorcycles from 50% to 30%. Additionally, it is anticipated that Modi may visit the U.S. bearing a package of gifts including increased purchases of American-made fighter jets, drones, and crude oil.
Preemptive Response to Trump's "India is a Trade Villain" Remark
According to Bloomberg on the 10th, Indian Prime Minister Narendra Modi will visit the United States on the 12th and 13th. Modi is scheduled to meet with President Trump to discuss tariffs, defense, trade, technology, and Indo-Pacific security. Specific topics expected to be discussed include military cooperation, artificial intelligence (AI), the Quad alliance, and skilled worker visa issues.
President Trump emphasized the importance of "fair trade" between the two countries during a phone call with Modi on the 27th of last month. Vikram Misri, India's Deputy Foreign Secretary, also stated at a press conference on the 7th that the two leaders are expected to engage in "more intense and sustained discussions on tariffs" during their meeting.
India recorded a trade surplus of $32 billion (approximately 46.6 trillion KRW) with the U.S. in the 2023-2024 fiscal year. Because of this, President Trump referred to India as a "major trade villain" during his election campaign and vowed to correct the imbalance through tariffs.
Recently, India took proactive tariff reduction measures targeting American motorcycle manufacturer Harley-Davidson by lowering import tariffs on large motorcycles with engines over 1600cc from 50% to 30%. Bloomberg also reported that India is prepared to negotiate the phased removal of some retaliatory tariffs imposed in response to former President Trump's trade actions in 2019. Of the 28 items subject to retaliatory tariffs, tariffs have been removed on 8 items, while high tariffs remain on the other 20.
Defense cooperation may also include discussions on purchasing American-made weapons. The Indian government has purchased 31 drones worth approximately $4 billion from the U.S. A global tender for purchasing 114 fighter jets is also underway. President Trump previously emphasized to Modi during a call that "India should increase imports of American security equipment."
Nuclear cooperation is another key topic. The Modi administration is pushing for amendments to nuclear-related laws to allow companies such as GE Hitachi Nuclear Energy, Westinghouse, and ?lectricit? de France to participate in supplying reactors for nuclear power plant construction. Deputy Foreign Secretary Misri said, "Small Modular Reactors (SMRs, with a capacity of 300,000 kW) and advanced modular reactors are being discussed both in France and the U.S., and we expect progress in these discussions within the next few months." With India's recent relaxation of regulations through amendments to nuclear laws, investment attraction is also expected to proceed smoothly.
Illegal Immigrant Issues in the U.S. Also Important... Likely Focus on H-1B Visa Matters
Given that President Trump recently deported about 100 Indians back to their home country, the issue of illegal immigrants in the U.S. is expected to be seriously addressed. According to Indian media and the Associated Press, the Trump administration deported 104 Indian illegal immigrants to India on the 5th via a U.S. military plane. The number of illegal Indian immigrants in the U.S. is reportedly the third highest after Mexico and El Salvador. An Indian Foreign Ministry official recently testified before Congress that 519 Indian illegal immigrants were deported from the U.S. to India between November 2023 and October 2024.
The Indian government is currently taking a conciliatory stance toward the U.S. An Indian government official also indicated that further deportations of Indian nationals by the U.S. could occur. According to the Indian local media Times of India, Indian Foreign Minister S. Jaishankar testified before Parliament on the 6th, stating, "Every country has the obligation to repatriate its nationals found to be illegally residing abroad," and added, "We must focus strongly on cracking down on illegal migration industries."
Based on this, India is expected to seek U.S. cooperation to increase the issuance of H-1B visas, which are granted to professionals with specialized skills such as IT experts. The H-1B visa is popular among skilled workers in technology, medical, engineering, and finance fields. According to the British newspaper The Independent, about 75% of the 386,000 H-1B visas issued in 2023 were granted to Indians.
Some foreign media, including the Times of India, have mentioned the possibility that Modi might meet with Elon Musk, CEO of Tesla, although this is not officially confirmed. The market expects discussions on Tesla's entry into India, permission to operate Starlink in India, and cooperation plans with the Indian Space Research Organisation (ISRO). An anonymous source told Bloomberg, "The Indian government is pursuing meetings with CEO Musk and other American business leaders, but nothing has been finalized yet."
Meanwhile, attention is focused on whether Modi will display the same friendly demeanor with Trump as during Trump's first term. When Modi visited the U.S. in 2019, he attended a large rally in Houston to encourage and celebrate the immigrant community, where President Trump also appeared and exchanged praise and kind words with Modi in front of about 50,000 Indian Americans. The following year, President Trump visited India and attended an event at the world's largest cricket stadium in Ahmedabad, Gujarat?Modi's political hometown?where he showcased their "bromance" before an audience of 100,000.
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