US President Donald Trump on Wednesday expressed confidence that the United States would strike a great deal with India. Trump also praised Prime Minister Narendra Modi during his visit to the World Economic Forum in Davos.
Speaking to Moneycontrol on the sidelines of the annual summit, Trump described Modi as ‘a fantastic man’ and a friend. The POTUS added that both sides were working towards a positive agreement.
The comments come amid heightened trade friction. The US has imposed tariffs of up to 50% on certain Indian goods, among the highest applied globally.
Of this, 25% is linked to India’s crude oil imports from Russia, which the Trump administration argues indirectly from both capitals that negotiations remain active; however, a final deal has so far proved elusive.
Earlier this month, US Ambassador to India Sergio Gor assumed charge and voiced strong optimism about bilateral ties. Calling the Trump-Modi relationship genuine, Gor said the US president could visit India, hopefully, in the next year or two.
He stressed that while trade is central, cooperation spans security, counterterrorism, energy, technology, education, and health.
Confusions flared after US Commerce Secretary Howard Lutnick claimed the trade deal stalled because New Delhi did not call Washington within a critical window.
India’s Ministry of External Affairs swiftly rejected this account. MEA spokesperson Randhir Jaiswal said India and the US had been engaged in talks since February last year, coming close to an agreement multiple times.
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According to the MEA, five rounds of official-level talks and several ministerial discussions have already taken place. Jaiswal also noted that Modi and Trump spoke by phone eight times in 2025, covering a broad range of bilateral issues.
The message from both sides, at least publicly, remains consistent: negotiations continue, and a mutually beneficial deal is still on the table.