Vance meets with Modi as India seeks reprieve from Trump tariffs

Dan Strumpf, Akayla Gardner and Sudhi Ranjan Sen, Bloomberg News on Apr 21, 2025

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U.S. Vice President JD Vance is holding talks with Indian Prime Minister Narendra Modi in New Delhi on Monday as the South Asian nation looks to strike an early trade deal with Washington that spares it from President Donald Trump’s additional tariff hikes.

Vance arrived at Modi’s private residence in the capital just before 7 p.m. local time for bilateral talks with the prime minister, followed by another discussion that will include members of their respective delegations. Modi is then expected to host Vance, his wife Usha and their three children for dinner.

The meeting caps the first of a four-day visit to India by Vance and his family, a trip that underscores India’s importance among countries seeking trade negotiations with the U.S. during the 90-day pause on Trump’s so-called reciprocal tariffs.

The U.S. has threatened to slap a 26% tariff on Indian exports — up from a baseline 10% covering exports from all nations — if no deal is reached during the tariff pause that stretches until July.

Trump administration officials have named India as one of several countries the U.S. is prioritizing negotiations with during the pause, and hopes are running high in New Delhi that the country can secure a quick deal.

During a visit by Modi to the White House in February, the two sides said they planned to conclude the first tranche of a bilateral trade deal by fall of this year. India’s Finance Minister Nirmala Sitharaman is in Washington this week and plans to meet U.S. Treasury Secretary Scott Bessent to advance the talks. India’s chief trade negotiator will also visit the U.S. this week.

Modi has sought to pave the way for a deal with the U.S. in recent months by slashing Indian tariffs on a range of American goods, agreeing to buy more U.S. exports and accepting undocumented migrants sent back from the U.S.

Vance and his family arrived in New Delhi on Monday morning following a three-day trip to Italy, where Vance met with Italian Prime Minister Giorgia Meloni. He also met with Pope Francis at the Vatican, just a day before the pontiff’s death.

In New Delhi, the Vance family was greeted at the airport by Indian officials before setting off for a visit to a Hindu temple. Interest in the family runs high in India, given that Usha Vance is a daughter of Indian immigrants from the southern state of Andhra Pradesh.

Vance’s visit will also include a bit of softer diplomacy, with the vice president’s family set to make stops at cultural sites in Jaipur and Agra, home of the Taj Mahal.

The U.S. has long sought to cultivate a deeper partnership with India, in large part as a bulwark against China. India, meanwhile, has sought greater U.S. investment and deeper cooperation in technology-sharing and defense.

The South Asian country is also hoping to lure investment from White House adviser Elon Musk. The Tesla Inc. chief executive indicated he’d visit India later this year after speaking last week with Modi, signaling potential progress in the electric-car maker’s long-pending push into the world’s most-populous country.