PM Modi, Trump Review Trade, Defence and Energy Ties

India Manufacturing Review Team
Thursday, 01 October 2026

PM Modi and Donald Trump discuss trade, defence, energy and critical technologies, while India and the US continue trade talks amid New Delhi’s concerns over US sanctions linked to Russian energy purchases.

Prime Minister Narendra Modi and US President Donald Trump held a telephone conversation to review bilateral cooperation in trade, defence, energy and critical technologies, as India and the United States continue discussions on their economic relationship amid concerns over Washington’s new sanctions framework related to Russian energy purchases.

According to the Prime Minister’s Office, the two leaders reviewed progress across several areas of mutual interest and reaffirmed their commitment to advancing the India-US Comprehensive Global Strategic Partnership. They also agreed to maintain close engagement to deepen cooperation between the two countries.

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The leaders exchanged views on regional and international developments, including ongoing efforts to promote global peace and security. Both sides agreed to remain in contact following the conversation.

The call comes as India and the US continue negotiations on a bilateral trade agreement. Commerce and Industry Minister Piyush Goyal is visiting the US and is holding discussions with American officials and business representatives as part of efforts to advance an interim trade arrangement.

Trade discussions are taking place alongside concerns in New Delhi over the US Sanctioning Russia and Iran Act of 2026. The legislation gives the US president authority to impose tariffs of up to 100 percent on countries that continue significant purchases of Russian oil or gas. India has raised concerns about the potential implications of the measure for its interests and bilateral relations with Washington.

Energy remains an important component of the India-US relationship, particularly as India remains a major importer of crude oil. The sanctions-related issue has added another dimension to ongoing trade discussions between the two countries.

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Defence and critical technologies were also part of the leaders’ discussions, reflecting the broader scope of the strategic partnership. The two countries have continued to expand cooperation across defence, technology, energy and trade.

Modi described the conversation as productive and said both leaders agreed to maintain close engagement. The latest discussion provides another high-level channel for India and the US to address bilateral issues while continuing cooperation across strategic and economic sectors.

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