'PM Modi is a very smart man, India-US tariffs will work out well': Trump

US President Donald Trump has once again expressed admiration for Indian Prime Minister Narendra Modi, calling him a “great friend” and a “very smart man.” Speaking at the White House, Trump highlighted the strong relationship between the two leaders and praised India’s economic acumen, even as he reiterated concerns about the country’s high tariffs. Despite ongoing trade tensions, he voiced confidence that negotiations would lead to a positive outcome for both nations.

“Prime Minister Modi was here just recently, and we’ve always been very good friends. India is one of the highest-tariffing nations in the world… They’re very smart,” Trump said. “He is a very smart man and a great friend of mine. We had very good talks. I think it’s going to work out very well between India and our country. And I want to say you have a great prime minister," Trump said.

Tensions over tariffs

Trump’s remarks come as the US prepares to impose reciprocal tariffs on multiple countries, including India, over what he has termed unfair trade practices. He has been vocal in his criticism of India’s trade policies, previously calling the country the “tariff king” and labeling its import levies as “very unfair and strong.”

“I have a very good relationship with India, but the only problem I have with India is they’re one of the highest-tariffing nations in the world. I believe they’re probably going to lower those tariffs substantially, but on April 2, we will be charging them the same tariffs they charge us,” Trump said.

He also accused India of restrictive trade practices, adding, “You can’t sell anything into India, it is almost restrictive. They have agreed, by the way, that they want to cut their tariffs way down now because somebody is finally exposing them for what they have done.”

India’s moves to strengthen US trade ties

In an effort to ease tensions and improve trade relations with the US, India has taken significant steps since February. New Delhi has pledged to increase energy purchases from the US to $25 billion, up from $15 billion last year, reinforcing its commitment to expanding economic ties.

On the defence front, Trump revealed that India could soon acquire F-35 stealth fighters, highlighting growing military cooperation between the two nations. Washington is also positioning itself as a leading supplier of oil, gas, and advanced military equipment to India.

Responding to Trump’s criticism of high tariffs, India has already reduced duties on several key imports. The government slashed bourbon whisky tariffs from 150 per cent to 100 per cent, while the February budget cut basic customs duties on luxury cars, solar cells, and machinery. Peak import tariffs have been brought down to 70 per cent, with average tariffs now below 11 per cent.

Meanwhile, US tech giant Elon Musk’s Starlink is also close to securing final regulatory approval in India. The company has partnered with Reliance and Airtel, a move expected to accelerate its expansion into emerging markets.