Key Agreements Strengthen Defense, Trade, and Energy Cooperation Between the Two Nations
Washington DC [US], February 15: India and the United States have taken major steps to strengthen bilateral ties with new initiatives in defense, trade, energy, and technology during Prime Minister Narendra Modi’s two-day visit to Washington. The key highlights of the visit include the launch of ‘Mission 500’ to double bilateral trade to $500 billion by 2030, a 10-year framework for defense cooperation, and expanded civil nuclear collaboration.
In a significant move, President Donald Trump and Prime Minister Modi also launched U.S.-India COMPACT (Catalyzing Opportunities for Military Partnership, Accelerated Commerce & Technology), a framework aimed at transforming cooperation across strategic sectors.
Key Takeaways from the Joint Statement
1. Expanding Defense & Military Cooperation
- The two nations announced a new 10-year Framework for the US-India Major Defense Partnership, boosting military collaboration across land, air, sea, space, and cyberspace.
- The US agreed to increase defense sales to India, including the co-production of Javelin Anti-Tank Guided Missiles and Stryker Infantry Combat Vehicles in India.
- Plans were finalized for India’s procurement of six additional P-8I Maritime Patrol Aircraft, strengthening surveillance capabilities in the Indian Ocean Region.
- The ‘Autonomous Systems Industry Alliance (ASIA)’ was launched to co-develop advanced AI-driven defense systems.
2. Strengthening Energy & Nuclear Collaboration
- Both nations reaffirmed commitment to US-India Energy Security Partnership, expanding oil, gas, and renewable energy trade.
- The US backed India’s bid to join the International Energy Agency (IEA) as a full member.
- The two sides pledged to fully implement the US-India 123 Civil Nuclear Agreement, paving the way for US-designed nuclear reactors in India and expanding joint nuclear energy projects.
3. ‘Mission 500’: Strengthening Trade & Economic Ties
- Under ‘Mission 500’, both leaders set an ambitious goal to double bilateral trade to $500 billion by 2030.
- The first phase of a Bilateral Trade Agreement (BTA) will be negotiated by fall 2025, focusing on:
✅ Reducing tariffs and trade barriers
✅ Increasing market access
✅ Enhancing supply chain integration - The US welcomed India’s decision to lower tariffs on bourbon, motorcycles, ICT products, and metals, while India appreciated increased US imports of Indian mangoes, pomegranates, and agricultural goods.
4. Expanding Technology & AI Cooperation
- The US and India launched U.S.-India TRUST (‘Transforming the Relationship Utilizing Strategic Technology’), fostering collaboration in AI, semiconductors, biotechnology, and space exploration.
- ‘INDUS Innovation’, modeled after the successful INDUS-X defense initiative, was introduced to accelerate US-India partnerships in space and emerging technologies.
- Meta announced a multi-billion dollar undersea cable project, enhancing digital connectivity across five continents with a major focus on the Indian Ocean Region.
5. Strengthening Security & Strategic Ties
- The leaders pledged to enhance intelligence sharing and logistics support for military operations.
- The US reaffirmed its support for India’s counterterrorism efforts, committing to extradite 26/11 accused Tahawwur Rana and urging Pakistan to take action against terror networks operating from its territory.
- India’s military will take on a leadership role in the Combined Maritime Forces naval task force, helping secure sea lanes in the Arabian Sea.
6. Advancing People-to-People & Immigration Cooperation
- With over 300,000 Indian students contributing $8 billion annually to the US economy, both leaders pledged to streamline student and professional mobility.
- Plans were announced to address illegal immigration networks and human trafficking, ensuring mutual security.
Conclusion
The Modi-Trump meeting has reinforced India-US relations, setting ambitious goals across defense, trade, energy, and technology. With initiatives like ‘Mission 500’, COMPACT, and TRUST, the two nations are moving toward a stronger strategic partnership that will shape global geopolitics in the years ahead.
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India US relations, US India trade, defense partnership, nuclear cooperation, AI technology partnership, strategic energy ties, bilateral trade, Modi Trump meeting, Quad security, global security collaboration
