Trump Praises Modi, Predicts ‘Good Deal’ on India-US Trade at Davos
US President Donald Trump expressed strong optimism for a new trade agreement with India, calling Prime Minister Narendra Modi a “fantastic leader” during the World Economic Forum in Davos.
Key Takeaways
- President Trump said the US and India are “going to have a good deal” on trade.
- He praised PM Modi as a “fantastic leader” and highlighted their “very good relationship”.
- The two leaders are scheduled to meet on the sidelines of the WEF summit.
Optimistic Outlook on Trade Talks
Speaking to reporters, Trump shared his positive assessment of the ongoing negotiations. “We are doing very well. We are going to have a good deal,” he stated. He went on to personally commend the Indian Prime Minister, saying, “He (Modi) is a fantastic leader, a fantastic man. I have a very good relationship with him.”
Key Sticking Points in Negotiations
The path to a deal involves resolving several critical issues from both sides.
India’s key demands include:
- Exemption from high US duties on steel and aluminium products.
- Resumption of export benefits under the Generalised System of Preferences (GSP).
- Greater market access for its agricultural, automobile, auto components, and engineering goods.
The United States is seeking:
- Greater market access for American farm goods, manufactured products, dairy items, and medical devices.
- Reduced import duties on certain Information and Communication Technology (ICT) products.
- Addressing concerns over the high trade deficit with India.
The scheduled meeting between Trump and Modi at Davos is seen as a crucial step towards bridging these differences and finalizing a mutually beneficial trade pact.
