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US, India must grow together: Vance in Jaipur

Apr 23, 2025 06:42 AM IST

US VP JD Vance urged India to reduce non-tariff barriers, enhance market access, and boost purchases of American energy and defense during his visit.

US vice president JD Vance on Tuesday urged India to drop non-tariff barriers, provide access to its markets and buy more American energy and defence hardware even as he emphasised the importance of the two sides working together to ensure a peaceful and prosperous 21st century.

US, India must grow together: Vance in Jaipur
US, India must grow together: Vance in Jaipur

Delivering a speech on India-US relations at the Rajasthan International Centre, Vance was effusive in his praise of India and Prime Minister Narendra Modi as he sought to strike a balance between the Trump administration’s economic agenda and the goal of strengthening the partnership between Washington and New Delhi.

Speaking a day after his meeting with Modi in New Delhi, when the two sides announced “significant progress” in negotiations for a bilateral trade agreement and the finalisation of terms of reference for the deal, Vance said President Donald Trump wants India to grow and to build a future along with partners. Vance also criticised previous US administrations for their handling of ties with India, saying Washington had approached Modi “with an attitude of preachiness or even...condescension”.

The speech before an audience that included Indian officials, diplomats and academics was Vance’s only public engagement during a three-day visit to India and afforded him an opportunity to spell out the Trump administration’s priorities for relations with India. It came a day before an Indian team of negotiators heads to the US for talks on the first tranche of a trade deal to be finalised by the fall.

Later in the evening, in a post on X, Vance condemned the terrorist attack in Jammu & Kashmir.

“Usha and I extend our condolences to the victims of the devastating terrorist attack in Pahalgam, India. Over the past few days, we have been overcome with the beauty of this country and its people. Our thoughts and prayers are with them as they mourn this horrific attack,” he said.

Vance was careful to couch his remarks within the framework of greater cooperation and collaboration with India in trade, defence, technology and energy but pushed the Trump administration’s narrative on cutting tariffs, market access and purchases of American energy and military equipment.

“India, we believe, can go a long way to enhance energy ties between our nations. And one suggestion I have is maybe consider dropping some of the non-tariff barriers for American access to the Indian market,” Vance said, referring to the main asks of the US side in trade negotiations.

“Americans want further access to Indian markets. This is a great place to do business, and we want to give our people more access to this country and Indians, we believe, will thrive from greater commerce in the US,” he added.

Pointing to Trump’s decision to scale up production of US oil and gas, Vance argued India, the world’s third-largest energy consumer, could benefit from cheap American energy. “America is blessed with vast natural resources...So much that we want to be able to sell it to our friends like India. We believe your nation will benefit from American energy exports. In expanding those exports, you’ll be able to build more, make more and grow more, but at much lower energy costs,” he said.

India had increased purchases of US energy during Trump’s first term and there have been indications that New Delhi could hike procurement of American oil and gas as part of measures to reduce the trade surplus.

Vance also reiterated US efforts to pitch defence equipment such as F-35 combat jets, Javelin anti-tank missiles and Stryker armoured vehicles to India, saying the two countries can co-produce munitions and equipment needed to deter foreign aggressors.

“We want to collaborate more, we want to work together more, and we want your nation to buy more of our military equipment, which of course we believe is the best in class. American fifth generation F-35s, for example, would give the Indian Air Force the ability to defend your airspace and protect your people like never before,” he said.

This closer collaboration for defence hardware is “not because we seek war but because we seek peace and we believe the best path to peace is through mutual strength”, Vance said.

Vance welcomed India’s move to amend its civil nuclear liability laws, saying they prevent US producers from exporting small modular reactors and building larger US-designed reactors in the country. American energy can help realise India’s nuclear power production goals and its AI ambitions, he said.

He argued that India-US technology collaboration will extend beyond defence and energy and the bilateral Trust (Transforming the Relationship Utilising Strategic Technology) initiative will build on billions of dollars of planned investments by American companies. “In the years to come, we’re going to see data centres, pharmaceuticals, undersea cables and countless other critical goods being developed and being built because of the American and Indian economic partnership,” he said.

Vance referred to Trump’s customised reciprocal tariffs for some 60 countries, including India – which were unveiled on April 2 and then paused for three months – and said the measures were aimed at protecting the US manufacturing economy and ensuring opportunities for American workers.

Noting that Trump will go to “extraordinary lengths” to protect and expand opportunities for Americans, Vance said: “So today I come here with a simple message. Our administration seeks trade partners on the basis of fairness and of shared national interests... We want partners that are committed to working with America to build things, not just allowing themselves to become a conduit for trans-shipping other’s goods.

The US, he said, wants to partner with countries that come together to build a system of global trade that is balanced, open and stable and fair. America’s partners “need not look exactly like America” or do everything the same way, but they should have common goals. “I believe here in India we do, in both economics and in national security,” he said.

India and the US have “much to gain by investing in one another”, and the future of the 21st century will be “determined by the strength of the US-India partnership”, Vance said. “I believe that if India and the US work together successfully, we are going to see a 21st century that is prosperous and peaceful. But I also believe that if we fail to work together successfully, the 21st century could be a very dark time for all of humanity,” he said.

Defending Trump from critics who have accused him of starting a trade war, Vance said the US president wants to rebalance global trade “so that America, with friends like India, can build a future worth having for all of our people”. He said Trump and Modi had thrown their weight behind the target of more than doubling two-way trade to $500 billion by 2030 and both sides are “hard at work on a trade agreement built on shared priorities like creating new jobs, building durable supply chains and achieving prosperity for our workers”.

Vance said he and Modi made “very good progress” on trade-related issues at their meeting on Tuesday, including the finalisation of terms of reference for trade negotiations. “I believe this is a vital step toward realising President Trump’s and Prime Minister Modi’s vision because it sets a road map toward a final deal between our nations. I believe there is much that America and India can accomplish together,” he said.

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