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'Trump Respects India's Friendship'

March 07, 2025 09:04 IST

'The cooperation in technology is one of the most important aspects of the visit.'
'It will have a long-lasting impact because it will shift the entire paradigm in the context of artificial intelligence and emerging technologies.'

IMAGE: Prime Minister Narendra Modi with US President Donald Trump in the Oval Office, February 13, 2025. Photograph: Kevin Lamarque/Reuters

Dr Vijay Chauthaiwale, who is in charge of the Bharatiya Janata Party's foreign affairs department, has led the party's Indian Diaspora outreach, its interactions with political parties abroad, and works behind the scenes as a bridge between Indian officials and the community during Prime Minister Narendra Modi's international visits.

"Tariffs are definitely a concern, especially in sectors where our exports are high... A 25 per cent increase in tariff or something similar will definitely have some issues for Indian industry," Dr Chauthaiwale tells Archis Mohan/Business Standard in an interview about Modi's meeting with US President Donald Trump.

What is your assessment of the PM's recent visit to the US?

The world is currently facing two crises -- the conflict in Gaza and the war between Ukraine and Russia.

Despite these crises naturally being a priority for the US administration, PM Modi was invited to the White House within weeks of Trump's presidency and was among the top five visitors of the Trump administration.

The visit showed that the overall chemistry between the two leaders and the direction in which the relationship is progressing are strongly positive.

There are some contentious issues that need to be addressed, but overall, the visit was evidence of the importance that both sides place on the India-US partnership.

IMAGE: Dr Vijay Chauthaiwale with Prime Minister Narendra Modi. Photograph: Kind courtesy Vijay Chauthaiwale/Instagram

According to the joint statement issued after the bilateral summit, the two countries committed to deeper engagement across various sectors. What, according to you, were the highlights?

You could probably attribute this to my bias (Chauthaiwale is a scientist with a PhD in microbiology), but I think the cooperation in technology is one of the most important aspects of the visit.

It will have a long-lasting impact because it will shift the entire paradigm in the context of artificial intelligence and emerging technologies.

This cooperation will enable India to transition from its expertise in software services and products to large-scale data analytics and data-driven AI and offer opportunities for Indian industry. There are concerns on tariffs.

Tariffs are definitely a concern, especially in sectors where our exports are high. For example, I have worked in the pharmaceutical industry, and Indian pharmaceutical companies are likely the largest foreign pharmaceutical sector in generic medicines.

So, a 25 per cent increase in tariff on these measures or something similar will definitely have some issues for the Indian industry. But we need to remember that it will also impact US consumers because the tariffs will naturally be passed on to someone else, and in many cases to the final consumer.

So, we will have to see how it works out in the future, though the final picture is not yet clear. But yes, it is a matter of some concern.

And what about agriculture?

As I understand, we impose high tariffs on US agricultural products. So, reciprocal taxation will impact Indian agriculture too.

What is your assessment of the talks between the two sides on issues involving undocumented Indians and legal immigration?

I think there is political willingness on the Indian side to accept illegal migrants if they (the US) can prove that they are Indian citizens.

It's not an issue about agreeing on what needs to be done in principle but rather about the process.

Yes, there are concerns that they should be treated in a more humane way, and I believe the Indian government has raised these issues.

The PM raised them, as did (External Affairs Minister) S Jaishankar, who expressed the government's view in Parliament. I am sure both the governments are talking about it.

Photograph: Dado Ruvic/Reuters

How do you see progress on legal migration, including H-1B and student visas?

I don't see that as a major problem as of now because the US government and its tech industry will also need the talent, which only India, and maybe China, could provide. But China has its set of issues with the US.

Therefore, I don't see that there will be a major reduction in the issuance of H-1B visas or even for the residency permit there.

That process will go on and the joint statement seems to suggest that the US was willing to have a greater intake.

Moreover, in the recent past, Indian companies who are working in the US are also absorbing a significant number of local talent.

It is no longer that, which used to happen 20-25 years ago, when large numbers of Indian IT professionals would go from India to work for Indian companies in the US.

That is still happening, but Indian companies are also taking a lot of local talent and creating employment locally too. It is creating a lot of positive impact.

On defence cooperation, do you think there has been some forward movement?

Yes, the Trump administration has offered India a lot of new technology, including F-35 fighter jets.

Whether what will actually be realised is one issue, but the simple willingness of the US to offer such advanced aircraft, submarines, and other defence technology to India is a positive development.

 

There was an easy camaraderie between the two leaders that was on display during the PM's visit. Do you think India might be treated a bit differently than some other countries by the Trump administration?

I would say India-US partnership is in the interest of both the countries, and therefore Mr Trump and Mr Modi value it.

The camaraderie you mention, even the personal gestures -- such as the US president gifting a coffee table book, personally signing it, and openly praising the PM -- shows this sentiment.

Even when discussing tariffs, President Trump said that PM Modi is his great friend and that he respects India's friendship with the US.

Such words show that the new US administration values this partnership.

Feature Presentation: Rajesh Alva/Rediff.com

Archis Mohan, Business Standard
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