India–USA Relations: Comprehensive Notes
“From ‘estranged democracies’ to a ‘Comprehensive Global Strategic Partnership,’ the journey of India–U.S. relations mirrors the rise of India on the global stage and
the rebalancing of the world order in the Indo-Pacific.”
Here are notable statements by famous personalities on India–U.S. relations, ideal for enriching your BPSC mains answers with quotes:
1. Atal Bihari Vajpayee (Former PM of India):
“India and the United States are natural allies in the quest for a better future for the world.”
Use in Intro/Conclusion: Highlights long-term strategic vision and shared democratic values.
2. Barack Obama (Former U.S. President):
“India is not just a rising power but already a world power.”
Use: Reinforces India’s growing global stature and U.S. acknowledgment of India’s role.
3. Narendra Modi (Current PM of India):
“India and the U.S. are indispensable partners in ensuring peace and prosperity in the Indo-Pacific and beyond.”
Use: Shows India’s strategic importance in current global geopolitics.
4. Joe Biden (Current U.S. President):
“The partnership between our countries is stronger, closer, and more dynamic than ever.”
Use: Highlights the modern, evolving nature of the India–U.S. relationship.
5. Donald Trump (Former U.S. President):
“India has never had a better friend than President Trump.”
Use: Can be quoted humorously or critically to show the personal diplomacy style under Trump.
6. Dr. Manmohan Singh (Former PM of India):
“Our relationship with the U.S. has entered a new phase — it is broad-based, multifaceted, and rooted in shared values.”
Use: Good for highlighting the shift post-2005 Civil Nuclear Deal.
7. Henry Kissinger (Former U.S. Secretary of State):
“India is a balancing power in Asia, not a counterweight to China, but a civilizational state.”
Use: Shows deep geopolitical significance attributed to India by Western thinkers.
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Historical Background
• Early Cold War (1947–1991): India adopted non-alignment; U.S. was wary due to India’s ties with the USSR. During the 1971 India–Pakistan war, the
U.S. supported Pakistan (Nixon-Kissinger era) while India signed a 20-year Treaty with the Soviet Union . In 1974 India’s first nuclear test (Pokhran-I) made
it the first non–UNSC member with nuclear weapons, leading to U.S. sanctions and over two decades of estrangement . President Carter’s 1978 visit and
President Reagan’s 1982 visit gradually thawed relations, but nuclear issues remained a hurdle.
• Post-Liberalization (1991–2000): India’s 1991 economic reforms rekindled U.S. interest. However, India’s 1998 Pokhran-II nuclear tests again
triggered U.S. sanctions (lifted in 2001) . In 2000, President Clinton made the first U.S. presidential visit to India in 22 years, marking a “historic” warming
of ties . The high-level dialogue was revived and by 2005 the U.S.-India Nuclear Cooperation Initiative was drafted .
• Post-9/11 Era (2001–2013): The 9/11 attacks brought India and the U.S. closer on counter-terrorism. The Bush administration lifted most nuclear
sanctions on India (2001) recognizing it as a strategic partner. In 2005 both countries negotiated the landmark Civil Nuclear Agreement (finalized in 2008)
to end India’s nuclear isolation . Defense and security cooperation expanded (e.g. New Framework on Defence Cooperation, 2005). Indo-U.S. ties became
a “Comprehensive Global Strategic Partnership” by 2009.
• Recent Decade (2014–Present): Strategic convergence deepened under PM Modi and Presidents Obama, Trump, and Biden. High-profile visits
(PM Modi’s 2015 Houston summit “Howdy Modi”, 2023 Washington visit) and agreements (semiconductor partnership 2024) reflect an “enduring
partnership” . India’s growing economy and military have made it a key U.S. partner in Asia.
Political & Strategic Relations
• High-level Visits and Dialogues: Bilateral summit visits have become frequent: e.g. President Clinton (2000), President Bush (2006), Prime
Ministers Vajpayee (2001), Manmohan Singh (2005, 2006), Narendra Modi (2015, 2016, 2019, 2023), Presidents Obama (2015, 2016), Trump (2020), and
Biden (2023). These visits often produce joint statements on trade, defence, and technology . In 2018 India and U.S. inaugurated the “2+2” Ministerial
Dialogue (Foreign and Defence Ministers), institutionalizing strategic talks (first held New Delhi, Sept 2018 ). The 5th such meeting (Nov 2023) reaffirmed
commitment to a “Comprehensive Global Strategic Partnership” and a free, inclusive Indo-Pacific .
• Quad and Indo-Pacific Strategy: India is a founding member of the Quad (with the U.S., Japan, Australia) – a consultative security grouping. The
Quad aims to uphold a “free and open Indo-Pacific,” balancing China’s rise . U.S. defense officials note that a “shared vision for a free and open Indo-
Pacific” underpins India–U.S. ties . Both nations coordinate on Indo-Pacific affairs (e.g. in ASEAN forums) and support India’s maritime security initiatives
(India’s SAGAR doctrine). India participates in U.S.-led Indo-Pacific frameworks (e.g. IPEF) and chairs Quad summits.
• Defence & Security Cooperation: The U.S. designated India a Major Defense Partner (2016), giving high-end technology access. Four
“foundational” defence pacts have been signed: an initial 2002 GSOMIA (military information sharing), the 2016 Logistics Exchange Memorandum
(LEMOA), 2018 COMCASA (secure communications), and 2020 BECA (geospatial data) . These agreements facilitate U.S.–India military exercises and
interoperability. Joint exercises are regular: e.g. MALABAR (naval; began 1992, now a Quad exercise), YUDH ABHYAS (army), COPE INDIA (air), Tiger
Triumph (tri-services) etc. In recent years, U.S. defense sales to India have grown rapidly (e.g. Boeing C-17/C-130 transports, Apache attack helicopters;
India purchased 22 AH-64E Apaches and 15 CH-47F Chinooks (~$3B) in 2015 ). Strategic dialogues (e.g. Defence Policy Group) coordinate arms deals and
joint production (Boeing–Tata, Lockheed–Tata partnerships).
Economic & Trade Relations
• Trade Volume: Bilateral trade is robust and growing. In 2024 total U.S.–India goods trade was ~$129.2 billion (U.S. exports $41.8B; imports $87.4B) .
Including services, total trade exceeded ~$191 billion in 2022 , nearly double the 2014 figure. India is the U.S.’s 9th-largest trading partner (with $73.1B U.S.
exports in 2022) and the U.S. is India’s largest partner ($118.8B total) . Key exports from U.S. include aircraft, machinery, oil, and medical devices; major
Indian exports are gems, pharmaceuticals, textiles, and IT services. The bilateral trade balance heavily favors India (U.S. trade deficit).
• Investment: The U.S. is India’s largest source of foreign direct investment. U.S. FDI stock in India reached $103 billion in FY2022–23, making
America the top investor for the second year running . Many U.S. tech and manufacturing firms (e.g. Google, Microsoft, GE) have large investments in India.
Indian investment in the U.S. is smaller ($14.4B in 2021) but growing (over 72,000 American jobs). Both governments encourage investment through
commercial dialogues.
• Services & Technology: Services trade (IT, finance, engineering) is a bright spot. In 2022 U.S. exports of services to India jumped ~38% to ~$26B
(imports from India ~$33B) . Many Indian IT/BPO companies operate in the U.S. (TCS, Infosys, Wipro, etc.). Bilateral R&D in tech also grows (e.g. joint AI
research, digital health). Intellectual Property Rights (IPR) have been a sticking point: U.S. has raised concerns over India’s patent laws (e.g. compulsory
licenses on drugs), and India emphasizes its right to affordable medicines. In WTO, each has filed trade disputes against the other (e.g. U.S. challenged
India’s patent regime in 1996, India has contested U.S. agricultural subsidies). A significant recent issue was U.S. withdrawal of India’s GSP preferential
status (2019) – affecting $5.6B of duty-free Indian exports to the U.S. (notably gems, auto parts, pharmaceuticals) .
Defence Cooperation
• Major Partner Status: In 2016 India was designated the first “Major Defense Partner” of the U.S., reflecting its strategic importance. Defence ties
have “moved from virtually zero to over $8 billion” in annual trade . India now holds more military exercises with the U.S. than any other country, and
cumulative defence trade has expanded substantially .
• Foundational Pacts: Four key pacts underpin cooperation :
• General Security of Military Info. (2002): protects shared classified data.
• Logistics Exchange Memorandum (2016): mutual access to bases and resupply.
• COMCASA (2018): secure communication links for weapons/systems.
• BECA (2020): sharing of geospatial and targeting data.
These enable integrated operations (e.g. through MALABAR) and co-development (e.g. Apache co-production).
• Joint Exercises and Training: Frequent exercises improve interoperability: MALABAR (naval, with U.S., Japan, Australia), Yudh Abhyas (army), Cope
India (air force), and trilateral exercises (e.g. Tiger Triumph with Japan). The U.S. also trains Indian officers and holds exchanges (War College, training at
Fort Bliss).
• Arms Trade: India is a growing customer for U.S. defense exports. Major purchases include Boeing C-17 and C-130 transport planes, AH-64 Apache
helicopters (e.g. 2015 deal for 22 Apaches) , MH-60R Seahawks, P-8I maritime patrol aircraft, and M-777 howitzers. U.S. defense companies (Boeing,
Lockheed Martin, GE Aviation) have set up joint ventures in India. Over $24 billion worth of U.S. defense sales have been contracted since the early 2000s
(Congress.gov).
Science & Technology Cooperation
• Space Collaboration: NASA–ISRO ties are strong. India invited U.S. payloads on Chandrayaan-1 (2008) and plans (Chandrayaan-3 had U.S.
instruments). In 2014 NASA and ISRO signed the NISAR mission (launch ~2024) to jointly map Earth’s surface . In June 2023 India joined the NASA-led
Artemis Accords (Moon/Mars exploration cooperation) . Scientific exchanges include joint experiments on the International Space Station (U.S.) and an
Indo-U.S. Human Space Flight Partnership.
• AI and Digital Tech: Both governments have initiated AI partnerships (e.g. a 2020 working group on AI research) and collaborate on cyber security,
fintech and e-governance. U.S. firms help develop India’s digital payments and cloud infrastructure. The Indo-U.S. Science & Technology Forum (since
2000) funds joint R&D (AI, biotech, clean tech).
• Biotech and Health: The two countries cooperate on biotech (life sciences, vaccines). During the COVID-19 pandemic, the U.S. supplied vaccines
and funded Indian research. Regular health dialogue addresses public health (e.g. polio eradication support, malaria).
• Energy & Environmental Tech: Under the Strategic Clean Energy Partnership (launched 2018), India and U.S. work on renewable energy, smart
grids, electric vehicles and energy efficiency. For example, the U.S. Development Finance Corporation committed $500 million to build a 3.3 GW solar
manufacturing plant in Tamil Nadu . Collaborative initiatives also include Mission Innovation (Clean Energy R&D) and partnerships on hydrogen fuel and
emissions reduction.
Civil Nuclear Agreement (2008)
• Overview: The U.S.–India Civil Nuclear Agreement (“123 Agreement”) was negotiated in 2005–08. It ended decades of nuclear trade prohibition.
Under the deal, India agreed to separate its civil and military nuclear facilities and place civil reactors under IAEA safeguards . In July 2005 the Framework
for Civil Nuclear Cooperation was signed, and the full agreement was enacted by the U.S. Congress in 2008.
• Significance: The agreement recognized India as a responsible nuclear power despite not signing NPT. It unlocked U.S. and international nuclear
commerce with India (fuel, reactors). It signaled strategic trust and paved the way for India’s addition to global nuclear commerce regimes.
• Aftermath: U.S. companies (Westinghouse, GE) entered India’s nuclear energy market. Two U.S.-supplied reactors are planned at Kovvada, Andhra
Pradesh (Westinghouse AP1000 design). The agreement also led to enhanced nuclear safety and R&D cooperation. It remains a cornerstone of bilateral
ties.
People-to-People & Diaspora Relations
• Indian-American Community: The U.S. is home to the world’s largest Indian diaspora (~4–5 million). Indian-Americans are a highly educated,
politically influential group (e.g. 2 U.S. Senators, 20+ Congressmembers of Indian origin, plus governors, judges). They have strong ties to both countries
through business (Silicon Valley tech firms), academia, medicine, and culture. High-profile events (e.g. “Howdy Modi” 2019 in Houston, with 50,000
attendees) and celebrity ties (Bollywood, cricket) reinforce soft relations.
• Education & Exchanges: India sends many students to the U.S. (~200,000 enrolled in 2023, fourth-largest foreign student body). This creates
academic links (IIT-MIT research programs, Fulbright scholarships). Indo-U.S. university partnerships are common (e.g. IIT campuses with U.S.
universities).
• Remittances: Indian emigrants send home large remittances. In 2022 India received ~$111 billion in remittances – the highest in the world . Although
much comes from the Gulf and the U.S., this money (about 2.5% of India’s GDP) bolsters India’s foreign reserves and development.
• Cultural Ties: Shared democratic values and English language aid mutual understanding. Bollywood and Indian cuisine enjoy popularity in the U.S.,
while Hollywood and American pop culture (music, tech gadgets) are widely adopted in India. The diaspora’s influence fosters bilateral goodwill.
Environmental & Climate Cooperation
• Climate Commitment: Both countries are parties to the Paris Agreement. In 2016 India and the U.S. recommitted to “swiftly implement the Paris
Agreement” and accelerate clean energy (solar, wind) .
• Joint Initiatives: Key programs include the Partnership to Advance Clean Energy (PACE) and the U.S.–India Clean Energy Finance Task Force. These
initiatives mobilize private/public capital for renewables and smart grids. The U.S.–India Solar-Energy partnership has supported solar financing and grid
modernization projects.
• International Solar Alliance (ISA): India (with France) launched ISA in 2015 for solar cooperation. The U.S., though not a member, participates in
related efforts. At COP26 (Glasgow, 2021), the U.S. joined the steering committee of ISA’s “One Sun One World One Grid” initiative (global solar grid) .
• Bilateral Energy Deals: The 2018 Strategic Clean Energy Partnership (SEP) co-chairs coordinate on renewable energy. For example, in 2021 the
U.S. Development Finance Corporation backed $500M for Indian solar manufacturing . The countries also cooperate on climate technology (carbon
capture, hydrogen) and have co-organized clean energy events in G20/COP meetings.
• Environmental Dialogues: Annual Environment and Climate Change Working Groups address air quality, water, and wildlife conservation. The U.S.
Agency for International Development (USAID) supports India’s clean energy projects and climate resilience programs.
Multilateral Engagements
• United Nations: The U.S. supports India’s push for a permanent UN Security Council seat (UNSCR reform). Both collaborate in UN forums on issues
like counter-terrorism (India co-sponsored CT resolutions) and climate (UNFCCC COPs). India is a major UN peacekeeping contributor and works with the
U.S. on global stability (Afghanistan transition, anti-piracy).
• G20 & G7: India and the U.S. share G20 membership. In 2023 India’s presidency, both nations coordinated on inclusive growth, global health,
climate finance (India hosted the New Delhi Summit). U.S.-India joint statements often reflect support for development, digital economy and global health
(G20 Leaders’ Declaration 2023). India also engages with the U.S. in broader forums (Group of 7 outreach, APEC).
• WTO & Trade Bodies: Both are active WTO members. They have at times clashed (e.g. over agriculture subsides or IPR) but usually negotiate
bilaterally or in coalitions. India has sought U.S. backing for special and differential treatment, while the U.S. encourages India to open markets. In other
multilateral trade talks, both advocate for trade modernization (digital trade rules, fisheries subsidies).
• Global Health (WHO): The U.S. and India have cooperated through WHO initiatives. During the COVID-19 crisis, India supplied vaccines worldwide
(with U.S. technical support) and joined COVAX procurement. The countries also partner on polio eradication (India was certified polio-free in 2014 with
Rotary/WHO/USAID aid). In WHO negotiations, India often aligns with U.S. on health R&D, but champions affordable medicines for developing countries.
• Other Fora: Both engage in UN agencies (IMF, World Bank, UNESCO, IAEA). For example, India has pushed for greater IMF quota share and U.S. has
supported incremental reforms. In sectoral bodies (IHO for oceans, COP for environment), they collaborate on common goals like disaster response and
climate science. Recent emerging coalitions include the I2U2 (India-Israel-UAE-US) for economic projects and the Malabar logistics group.
Recent Developments & Challenges
• Trade Tensions: The trade relationship has frictions. In 2019 the U.S. ended India’s GSP benefits , citing insufficient market access. Periodic tariff
disputes have arisen (e.g. Indian duties on U.S. motorcycles, agricultural products). The two sides began exploratory talks for a limited trade deal in 2020–
21, but no agreement has been reached. Structural issues (intellectual property rights, localization requirements) remain under negotiation.
• Visa and Mobility Issues: Visa policy is a recurring challenge. Indian IT professionals hold most H-1B work visas, drawing U.S. calls to tighten rules.
Recent U.S. regulations (e.g. stricter H-1B criteria, Optional Practical Training limits) have raised concerns in India. Student and work visa processing
slowdowns (post-COVID backlog) also strain relations. Both sides have convened working groups to ease visa hurdles and expand legal migration for
students and tech workers.
• Technology & Security: India’s growing role in technology has led to both cooperation and caution. The U.S. has invited Indian participation in
secure 5G/6G development (with companies like Qualcomm working on Open RAN in India). Yet India must navigate U.S. restrictions on Chinese tech and
U.S. push for “secure” supply chains. Cybersecurity collaboration has increased, but concerns persist (privacy laws, data localization). Collaboration on
emerging tech (AI, space) continues, with mutual interest in non-proliferation.
• China’s Rise: A major strategic factor is China. Both India and U.S. view China’s assertiveness (in borders, Indo-Pacific) as a common concern. This
has driven deeper security coordination (Quad exercises, intelligence sharing). However, India does not formally ally against China, preferring strategic
autonomy.
• Russia Factor: India maintains historic ties with Russia (defense, energy). It purchased the S-400 missile system despite U.S. sanctions law
(CAATSA); the U.S. granted India waivers (2019, 2022) to preserve the partnership. India has abstained on many Ukraine-related UN votes, reflecting its
independent stance. Balancing ties with both the U.S. and Russia is a delicate ongoing challenge.
• Regional Dynamics: The U.S. interest in India also relates to South Asia. Washington welcomes India’s role in Afghanistan stabilization and pressure
on Pakistan to combat terrorism. Indo-Pak relations sometimes involve the U.S., as America urges cross-border security. India’s diplomatic outreach (e.g.
with Iran on Chabahar port, despite U.S. sanctions) can cause friction.
• Future Outlook: Recent years have seen historic warmth (e.g. PM Modi’s state visit 2023 with multiple new initiatives on supply chains,
semiconductors, and defense). At the same time, unresolved issues (trade deficits, visa policy, differing political pressures) remain. The India–U.S.
partnership continues to deepen across sectors, but success depends on managing challenges and mutual expectations in this rapidly evolving
geopolitical context.
“To borrow from former PM Vajpayee’s words, India and the U.S. today stand as ‘natural allies’ — not just of convenience, but of conviction. Strengthening
this dynamic partnership will be critical to ensuring a free, open, and rules-based Indo-Pacific and a stable global order.”