'Going to have a good deal': Trump praises 'fantastic leader' PM Modi at Davos
Trump’s remarks come at a time when trade relations between India and the US remain uncertain. Nearly five months have passed since tariffs on Indian exports to the US were raised to 50 per cent, with half of the hike described by Trump as a “penalty” linked to India’s purchase of Russian oil.
US President Donald Trump on Thursday struck a positive note on India-US relations, expressing confidence that the two countries will reach a favourable trade agreement. Speaking on the sidelines of the World Economic Forum (WEF) in Davos, Trump praised Prime Minister Narendra Modi, calling him a “fantastic leader” and a “great friend”.
“I have a great respect for your prime minister. He is a fantastic man and a friend of mine. We are gonna have a good deal,” Trump said while responding to a question by moneycontrol on trade ties with India.
Trump’s remarks come at a time when trade relations between India and the US remain uncertain. Nearly five months have passed since tariffs on Indian exports to the US were raised to 50 per cent, with half of the hike described by Trump as a “penalty” linked to India’s purchase of Russian oil.
Although trade discussions between officials of both countries have been ongoing since before the tariffs were imposed, there has been little clarity on when a final deal might be announced.
In recent days, statements from senior members of the Trump administration have added to the uncertainty. US Commerce Secretary Howard Lutnick claimed that a potential trade deal collapsed because Prime Minister Modi did not personally reach out to Trump. Another aide suggested that Trump had approved a proposal that could push tariffs on India as high as 500 per cent.
India strongly rejected Lutnick’s remarks, calling them incorrect. Soon after, some optimism returned when the new US ambassador to India, Sergio Gor, said Washington views India as an important partner and confirmed that trade talks are still in progress.
Tariff warning alongside praise
Earlier this month, Trump hinted that tariffs on India could be raised further, even as he continued to speak positively about PM Modi. During a conversation with reporters aboard Air Force One, Trump described Modi as “a very good guy” but added that tariffs could be increased quickly if needed.
“India wanted to make me happy. Modi is a very good guy… We can raise tariffs on them very quickly,” Trump said.
At the Davos summit, Trump also focused on the United States’ economic performance, calling the country the “economic engine of the planet.” He said America’s economic boom benefits the entire world and highlighted what he described as major achievements during his first year back in office.
“The economy is booming, growth is exploding, incomes are rising and inflation is being defeated,” Trump said, claiming the US is witnessing one of the fastest economic turnarounds in its history.
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