Modi-Trump bonhomie will be tested amid tariff threats: 'He is prepared for this'

Prime Minister Narendra Modi arrived in the US on Wednesday for a two-day visit, during which he will hold bilateral discussions with US President Donald Trump.  Modi is the fourth world leader to visit Trump since his return to the White House.

Both leaders enjoy a warm working relationship and personal rapport, but this time, the much-hyped "bromance" between Trump and Modi will be tested. India charges an average of 14% tariffs on goods from the US, which makes it vulnerable to the US President’s wrath. Though the US President has not held back his frustration over India’s high tariffs, calling the country "tariff king", he has so far spared any tariffs from the new Trump administration.

This is the most important issue on Modi's agenda as he lands in the US. He aims to use his rapport with Trump to cut a deal on tariffs. 

"Modi has worked with Trump before and the familiarity has been on display since Trump's inauguration last month which is evident from how Delhi has publicly signalled its willingness to lower tariffs," Michael Kugelman, director of the Wilson Center's South Asia Institute in Washington, writes in BBC. 

Kugelman added that India's lowering of tariffs and taking back undocumented Indians are pre-emptive measures to alleviate the tensions with the new administration. Delhi has slashed tariffs on some products, including Harley-Davidson motorcycles, and may do the same for other imports, including electronics and textiles. 

"Modi has prepared for this, and is seeking to preempt Trump's anger,"  said Lisa Curtis, director of the Indo-Pacific security program at the Center for a New American Security, a Washington-based think tank. She added that Modi would offer to purchase more American (natural) gas to narrow the U.S. trade deficit.

The Prime Minister may also touch on trade deals to address US concerns about India's  $32bn trade surplus. Trump says he wants a relationship that is more “fair” despite the bilateral trade has been growing steadily. This could be possible as Trump would want a deal to improve the US economy by opening open foreign markets for U.S. companies, thereby creating U.S. jobs related to exports and lowering bilateral trade deficits.

Trump also wants India to purchase more US defence and energy products along with mall and modular reactors. This might be agreeable to India as it seeks to expand its clean energy sources. India is already in talks to buy combat vehicles and finalise a fighter jet engine deal.