Amid a thaw in the India-US ties after PM Narendra Modi and President Donald Trump toning down tensions, US Commerce Secretary Howard Lutnick has again flared up tensions, suggesting that a trade agreement with New Delhi could only gain pace once it halts importing Russian oil.
In an interview with CNBC, Lutnick said, "Well, we're going to sort out India," stressing that progress depends on India ending its energy ties with Moscow. His comments come against the backdrop of ongoing tensions between Washington and New Delhi over trade and energy policies.
Lutnick also revealed that the US is close to finalising a major trade deal with Taiwan and that an agreement with Switzerland is likely to be concluded soon. These announcements highlight Washington’s wider trade agenda even as talks with India remain delicate.
Trump and Modi signal thaw in ties
Despite frictions, Lutnick struck a softer note on India, pointing to remarks by President Donald Trump, who recently referred to Prime Minister Narendra Modi as a “dear friend.” On Truth Social, Trump said he looked forward to speaking with Modi in the coming weeks, adding that negotiations were underway to remove trade barriers and expressing confidence in a “successful conclusion.” Modi responded warmly, describing India and the US as “close friends and natural partners” and voicing optimism that talks would “unlock the limitless potential” of bilateral ties.
Lutnick's hardline stance on India
Lutnick’s latest remarks contrast with his tougher tone in earlier interviews. Speaking to Bloomberg, he warned that India would soon be "saying sorry" and pressured by its own businesses to return to the negotiating table. He argued that while New Delhi might enjoy posturing against the US, its industries would eventually demand a deal with America.
"I think, yes, in a month or two months, India's going to be at the table, and they’re going to say they’re sorry, and they’re going to try to make a deal with Donald Trump," Lutnick said. "It will be on Donald Trump’s desk how he wants to deal with Modi, and that’s why he’s the President."
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