US Vice President JD Vance’s India Visit Amid Trade Talks

Photo: Instagram/@jdvance

US Vice President JD Vance is visiting India starting Monday, during a time when there are growing trade tensions between the US and other countries, especially after former President Donald Trump started a trade war. The visit is important both politically and personally for the Vice President.

Vance arrived in India as the US is warning to raise the tariffs (taxes on goods) on Indian products from 10% to 26% if no agreement is made before the end of a 90-day pause that Trump put in place earlier this month.

Indian Prime Minister Narendra Modi is scheduled to meet with Vance for a bilateral (between two countries) meeting. This meeting is significant for Modi, who is trying to establish India as a strong leader of the Global South, a group of developing countries. He hopes this will increase India’s influence in global matters.

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The US government has said that India is one of the countries it is focusing on during the pause on higher tariffs, which lasts until July. India is hopeful that a quick deal can be made to avoid the higher taxes, especially with the current 10% tariff in place.

A senior official in New Delhi told that trade talks in specific sectors will happen this week, with the goal of wrapping up by the end of May. Finance Minister Nirmala Sitharaman is also planning to attend meetings in Washington with the International Monetary Fund and will discuss trade with senior US officials during her visit.

In addition to trade discussions, PM Modi is trying to attract investment from major US companies. One of the most notable is Tesla's CEO, Elon Musk, who recently spoke with Modi and is expected to visit India later this year. Musk's visit could mean that Tesla is making progress on its long-awaited plan to enter the Indian market.

Vance’s trip will also involve some cultural diplomacy. Vance and his family will visit famous cultural sites in India, including Jaipur and Agra, where the Taj Mahal is located. There is already a lot of interest in the Vance family in India. Vance’s wife, Usha Vance, is the first Indian-American to become the second lady of the United States. Indian media has been covering her background, as her family originates from Andhra Pradesh, a state in India.

The Vance family’s visit will highlight the growing importance of the relationship between India and the US, especially as the US is becoming more assertive on the world stage. Milan Vaishnav, a director at the Carnegie Endowment for International Peace, said the visit could also help improve the public image of Vice President Vance. Vance has made some controversial statements in the past, such as criticizing Ukraine's president and European allies, and calling Chinese workers "peasants."

The attention given to Usha Vance is similar to the attention former Vice President Kamala Harris received in India. Harris, who is also of Indian descent, gained a lot of attention, particularly in her ancestral village in Tamil Nadu. However, she did not visit India during her vice presidency.

Trade between the US and India has always been important. The US sees India as a partner, especially in countering China’s influence. For its part, India wants more US investment and cooperation in technology and defense.

Tensions have sometimes arisen between the US and India, especially because of India’s close ties with Russia. Under President Joe Biden, the US has been critical of India’s continued buying of Russian oil, even after other countries imposed sanctions on Russia because of its invasion of Ukraine.

Even though Trump pushed for higher tariffs on Indian goods, he and PM Modi had a close relationship. Modi worked to improve trade by lowering tariffs on American products like Kentucky bourbon and Harley-Davidson motorcycles. These actions helped change India’s image as a “tariff king,” a term Trump used to describe India’s protectionist policies that he argued hurt American businesses.

After a meeting between Trump and Modi in February, India agreed to buy more American products, such as crude oil, natural gas, and advanced military equipment, to reduce its $47.7 billion trade surplus with the US. PM Modi also supported Trump’s policy of deporting undocumented migrants by accepting citizens from India who were sent back from the US.

When PM Modi visited the White House in February, he and Trump talked about reaching a trade deal by the fall.

Milan Vaishnav said that Modi and his team are focused on making a trade deal with the US. "We need to make a deal," Vaishnav said. "Once the deal is in place, it will help unlock many other areas of the bilateral relationship between the US and India."