Trump’s Trade Criticism of India Ignores Energy, Defense, and Structural Gains

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NEW DELHI– President Donald Trump renewed his attacks on India’s trade policies this week, describing the relationship as “totally one-sided.” But official data and recent deals suggest a more complicated picture—one in which India has significantly expanded imports of U.S. energy, deepened defense cooperation, and provided key structural benefits to American consumers and industries.

On Monday, Trump claimed on Truth Social that India sells “massive amounts of goods” to the U.S. while buying little in return. He singled out New Delhi’s continued reliance on Russian energy and defense equipment.

However, figures show India’s oil and gas imports from the United States surged 51 percent between January and June this year. Liquefied natural gas purchases nearly doubled to $2.46 billion in the 2024–25 fiscal year, up from $1.41 billion the year before. Indian refiners, including Indian Oil Corporation, Bharat Petroleum, and Reliance Industries, placed new orders in August for millions of barrels of U.S. crude set to arrive this fall.

Trump’s post also overlooked progress in defense ties. In July, the Pentagon confirmed that India and the U.S. had agreed to a 10-year framework to strengthen defense and strategic cooperation. Defense Minister Rajnath Singh and U.S. Defense Secretary Pete Hegseth discussed pending American defense sales, industrial collaboration, and a potential joint venture between Hindustan Aeronautics Ltd. and GE Aerospace to produce jet engines in India.

The Pentagon said the U.S. places “priority” on India as its key South Asian defense partner, underscoring the progress since Trump and Prime Minister Narendra Modi reaffirmed the Comprehensive Global Strategic Partnership during their February summit in Washington. The meeting also unveiled initiatives across defense, energy, technology, and trade, including an ambitious $500 billion trade target by 2030.

Beyond oil and defense, India’s trade with the U.S. has structural elements that Trump’s critique overlooked. India supplies affordable generic medicines that keep healthcare costs lower for American consumers. Its booming aviation sector is also a major buyer of Boeing aircraft, bolstering the U.S. aerospace industry at a time when the company faces intense competition from Europe’s Airbus.

While Trump’s criticism focused narrowly on tariffs and energy ties with Russia, both governments have emphasized that the broader trade and defense relationship remains central to the future of the partnership. (Source: IANS)

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