The diplomatic relationship between Indian Prime Minister Narendra Modi and former U.S. President Donald Trump was one of the most defining geopolitical partnerships of the 21st century. Their tenure saw significant developments in trade, defense, immigration, and international alliances, reshaping how two of the world’s largest democracies interacted. Unlike previous diplomatic engagements that followed a conventional bureaucratic approach, Modi and Trump relied heavily on direct personal rapport and large-scale public diplomacy. The era was marked by cooperation and friction, with the leaders often finding common ground on strategic interests but clashing on trade policies. Their relationship influenced not only bilateral ties but also had a lasting impact on global power dynamics, particularly in the Indo-Pacific region.
Economic and Trade Relations
Economic ties between India and the U.S. reached new heights during the Modi-Trump era, but they were also marked by significant disputes. Trump’s “America First” policy sought to reduce trade deficits and protect American industries, leading to increased tariffs on Indian goods. Modi, on the other hand, promoted “Make in India,” aiming to boost domestic manufacturing and reduce reliance on imports. These conflicting priorities led to heated negotiations and policy shifts that shaped the trade relationship between the two nations.
A key example of trade friction was the U.S. revoking India’s Generalized System of Preferences (GSP) status in 2019. This decision impacted billions of dollars worth of Indian exports, removing preferential tariff benefits previously granted to Indian businesses. In retaliation, India imposed higher tariffs on several American products, including almonds and apples, which were key exports to the Indian market. However, despite these setbacks, bilateral trade continued to grow, reaching a record high of $146 billion in 2019.
Additionally, India emerged as a significant buyer of American energy. Under Trump, the U.S. became one of India’s largest crude oil and natural gas suppliers. This shift in energy trade helped India reduce its dependence on Middle Eastern oil and diversify its energy portfolio. Modi and Trump also discussed strengthening investment ties, with American businesses increasing their presence in India’s growing digital and industrial sectors. Major corporations such as Google, Amazon, and Tesla expanded their operations in India, demonstrating the resilience of economic cooperation despite trade tensions.
Overall, while the Modi-Trump economic relationship faced several challenges, their shared interest in strengthening business ties ensured continued engagement and long-term economic collaboration.
Defense and Strategic Cooperation
One of the most successful aspects of Modi-Trump relations was defense cooperation. Under Trump’s administration, the U.S. became one of India’s largest arms suppliers, significantly boosting India’s defense capabilities. The defense partnership was driven by shared concerns over regional security, particularly regarding China’s growing influence in the Indo-Pacific region.
A prime example of strengthened defense ties was the signing of the $3 billion defense deal in 2020, under which India purchased 24 MH-60R Seahawk helicopters and six Apache helicopters from the U.S. This deal enhanced India’s naval and aerial capabilities, reinforcing its military strength in the region. Another landmark agreement was the signing of the Basic Exchange and Cooperation Agreement (BECA) in 2020, which allowed India access to advanced U.S. geospatial intelligence for precision military operations.
Beyond defense deals, Modi and Trump worked closely on strategic alliances such as the Quad, which includes the U.S., India, Japan, and Australia. The Quad Alliance focused on ensuring a free and open Indo-Pacific, countering China’s aggressive maritime policies, and strengthening regional security cooperation. Joint military exercises, such as the Malabar naval exercise, became a regular feature of U.S.-India defense collaboration, showcasing their commitment to regional stability.
This period also saw increased intelligence-sharing and counterterrorism efforts between the two countries. After the Pulwama terrorist attack in 2019, Trump expressed strong support for India’s right to self-defence, and both leaders pledged to enhance counterterrorism cooperation. The deepening defense ties between India and the U.S. during this era laid the foundation for long-term security collaboration.
Immigration and Visa Policies
While economic and defense relations flourished, immigration policies under Trump created significant challenges for Indian professionals. The H1-B visa program, which allows highly skilled Indian workers to work in the U.S., became a major point of contention. The Trump administration introduced stricter visa regulations, citing the need to protect American jobs. This move created uncertainty for thousands of Indian IT professionals, engineers, and doctors who contribute significantly to the U.S. economy.
One example of this challenge was the 2020 executive order that temporarily suspended new H1-B visa approvals, affecting Indian technology companies such as Infosys, TCS, and Wipro, which rely on skilled Indian workers in the U.S. The restrictions impacted India’s booming IT sector and led to strong diplomatic lobbying from Modi’s government to ease visa regulations. Modi repeatedly emphasized the contributions of Indian professionals to the American economy, arguing that restricting their access would harm U.S. businesses that depend on specialized skills.
Despite these challenges, Modi and Trump continued discussions on streamlining visa policies, and in the final months of Trump’s presidency, some restrictions were eased. The immigration issue remained a complex aspect of their relationship, highlighting the delicate balance between domestic policy and international economic needs.
Cultural Diplomacy and Public Engagement
One of the most visible aspects of the Modi-Trump era was their emphasis on cultural diplomacy and direct public engagement. Unlike traditional diplomatic meetings, both leaders organized large-scale public events that showcased their chemistry and strengthened their political alliances.
The 2019 “Howdy, Modi!” event in Houston was a historic moment, attended by over 50,000 Indian-Americans. Modi and Trump shared the stage, delivering speeches that emphasized their commitment to stronger U.S.-India ties. The event was not just a diplomatic gesture but also a political statement, reinforcing Modi’s popularity among the Indian diaspora and boosting Trump’s appeal to Indian-American voters ahead of the 2020 U.S. elections.
Similarly, the “Namaste Trump” event in Ahmedabad in 2020 saw an even larger gathering, with nearly 100,000 people welcoming Trump to India. The event highlighted India’s hospitality and the strength of the U.S.-India friendship, with both leaders praising each other’s leadership styles and commitment to global peace. Such events demonstrated the power of public diplomacy in modern international relations, where leaders engage directly with citizens to strengthen bilateral ties.
Beyond these grand spectacles, the cultural connection between India and the U.S. grew through increased educational exchanges, tourism, and collaborations in the entertainment industry. Bollywood films gained a larger audience in the U.S., while American universities attracted thousands of Indian students seeking higher education.
Geopolitical Impact and Legacy
The Modi-Trump era left a lasting impact on global politics, shaping the future of U.S.-India relations and influencing broader geopolitical dynamics. Their leadership style, defined by personal engagement and bold policymaking, set new standards for international diplomacy.
One of the most significant outcomes of their partnership was the shift in global power dynamics, particularly concerning China. Both leaders took a strong stance against China’s expansionist policies, supporting initiatives that countered Beijing’s influence in trade, military, and technology sectors. The U.S.-India strategic alliance became a crucial component of global security, reinforcing the importance of democratic partnerships in an increasingly multipolar world.
While their era saw challenges such as trade disputes and visa restrictions, the overall trajectory of their relationship remained positive. Their combined efforts in strengthening economic, defense, and strategic ties ensured that U.S.-India relations continued to thrive beyond their tenure. The policies and agreements established during their time in office continue to influence diplomatic engagements between the two nations, demonstrating the long-term significance of their partnership.
Conclusion
The Modi-Trump era redefined global diplomacy by prioritizing direct engagement, strategic collaboration, and economic interdependence. Their leadership demonstrated that while national interests may sometimes conflict, strong bilateral relations built on mutual respect and shared goals can lead to lasting cooperation. As the world continues to evolve, the lessons from their partnership serve as a model for future diplomatic engagements between major global powers.