In Post-Inaugural Phone Call, Trump and India’s Modi Discuss Trade, Bilateral Ties, and Illegal Immigration

The leaders discussed a range of issues in what analysts see as a positive development for the relationship between the two nations.

President Donald Trump and Indian Prime Minister Narendra Modi shake hands before their meeting at Hyderabad House in New Delhi, on Feb. 25, 2020. Alex Brandon/AP Photo

After taking office for the second time, President Donald Trump spoke on the phone with Indian Prime Minister Narendra Modi on Jan. 27.

The leaders of the world’s two largest democracies discussed a range of issues, in a conversation that the White House called “productive” in a Jan. 27 statement.

“The President emphasized the importance of India increasing its procurement of American-made security equipment and moving toward a fair bilateral trading relationship,” the White House said.

Akhil Ramesh, director of the India program at the Honolulu-based Pacific Forum, told The Epoch Times that the trade deficit with India is a concern for Trump.

“He’s talking about the trade deficit, equal apples-to-apples market access, and tariff reduction on goods,” Ramesh said.

Swasti Rao is an associate fellow at the New Delhi-based Manohar Parrikar Institute for Defense Studies and Analyses. Rao told The Epoch Times that Trump has asked all trading partners—including India—to reduce trade deficits.

The total bilateral trade between India and the United States is about $120 billion. India’s trade surplus with the United States is at a record high of $38 billion.

Trump has proposed two ways to reduce the U.S. trade deficit with India, Rao said. One involves India reducing tariffs for imported U.S. goods. The second is for India to purchase more hydrocarbons from the United States.

“India has already agreed to do that, so there is no problem,” Rao said.

Trump, Modi to Meet in Person

Modi and Trump will be meeting soon, with a visit by Modi to Washington being discussed, according to the White House.

In a message on social media platform X after the telephone call, the Indian prime minister called Trump’s re-election “historic,” and said India and the United States are committed to a “mutually beneficial and trusted partnership.”

“We will work together for the welfare of our people and towards global peace, prosperity, and security,” Modi said.

Rao said an in-person meeting between the two leaders could happen on the sidelines of next month’s tech summit in Paris, or in person at the White House.

France is hosting the Artificial Intelligence Action Summit on Feb. 10 and 11, co-chairing the summit along with New Delhi. Many heads of state, leaders of international organizations, and industry leaders are expected to attend. Modi confirmed his participation, and French President Emmanuel Macron has invited Trump.

Regional Geopolitics

During their 20-minute call, Trump and Modi also discussed regional geopolitical issues, including security situations in the Indo-Pacific region, the Middle East, and Europe.

The White House said Trump and Modi reiterated their commitment to advance both countries’ strategic partnership as well as their partnership in the Indo-Pacific region through the Quad framework. This diplomatic partnership between Australia, India, Japan, and the United States works to support an open, stable, and prosperous Indo-Pacific.

A Quad foreign ministers’ meeting took place on Jan. 21 after Trump’s inauguration, and India is scheduled to host its first Quad leaders’ meeting later this year.

“The continuity [of focus] in the Indo-Pacific will continue under this [Trump] administration as well,” Rao said.

The Indian prime minister’s office said in a statement that the two leaders also discussed enhancing cooperation in the fields of “technology, trade, investment, energy and defense.”

Illegal Immigration

After the call, in a conversation with reporters aboard Air Force One, Trump said he had discussed the issue of illegal immigrants with Modi and stated that Modi will do “what is right.”

Trump said that he had a long talk with Modi on the morning of Jan. 27 and that Modi will likely visit the White House in February.

“We have a very good relationship with India,” the president said.

Burzine Waghmar, an affiliate of the University of London’s School of Oriental and African Studies, told The Epoch Times that Modi will comply with the new Trump administration to deport illegal immigrants from India.

“Bogus asylum seekers in the U.S. rose from 4,330 in 2021, to 41,330 in 2023, a whopping 855 percent surge, which strains credulity,” Waghmar said. Most of those asylum seekers are from Gujarat, Modi’s home and one of India’s more prosperous states.

Rao said India’s quick compliance with the United States on the issue of illegal immigrants is a positive development for India–United States relations.

Rao noted that India earns $125 billion annually from remittances—money sent home by Indians working in different parts of the world. However, it only received $70 billion to $72 billion in foreign direct investment.

“India has to also make sure that the remittances keep on coming, and for that, we have to also make sure that our skilled labor is welcome,” she said.

That is especially true for countries from which India earns top remittances, namely, the United States, the UK, the United Arab Emirates, and Saudi Arabia, she said.