Modi, Trump hold first call since Russia and Iran sanctions law as trade talks continue

It is learnt that PM Modi raised all key issues, including New Delhi’s concerns over the move to impose tariff on countries buying Russian oil.
In this file photo from June 17, 2026, Prime Minister Narendra Modi and US President Donald Trump hold a bilateral meeting on the sidelines of the 2026 G7 Summit, in Evian, France.
In this file photo from June 17, 2026, Prime Minister Narendra Modi and US President Donald Trump hold a bilateral meeting on the sidelines of the 2026 G7 Summit, in Evian, France.(Photo | ANI)
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NEW DELHI: Prime Minister Narendra Modi and US President Donald Trump agreed to maintain close engagement to advance the India-US strategic partnership in their first conversation since the passage of the Russia sanctions legislation in the United States.

The call came amid rising trade tensions following the US enactment of the 'Lindsey O. Graham Sanctioning Russia and Iran Act of 2026' (SRIA), which allows US President to impose tariffs of up to 100% on countries purchasing Russian oil and gas, including India and China. In its reaction, New Delhi had said that it will take all necessary steps to protect its economic interests and ensure energy security for the nation.

The conversation also follows Chinese President Xi Jinping’s visit to the US from September 23 to 25, during which he held bilateral talks with Trump.

It is learnt that PM Modi raised all key issues, including New Delhi’s concerns over the move to impose tariff on countries buying Russian oil.

During the telephone conversation, Modi and Trump reviewed cooperation in trade, defence, energy and critical technologies, an official release said.

"The two leaders reviewed progress in bilateral cooperation across trade, defence, energy, critical technologies and other areas of mutual interest," the release said.

The two leaders "reaffirmed their commitment to advancing the India-US Comprehensive Global Strategic Partnership" and agreed to maintain close engagement to deepen cooperation, the statement said.

They also exchanged views on regional and international developments and discussed efforts to promote global peace and security and agreed to remain in touch.

Modi, in a post on X, described the conversation as "productive".

"Had a productive conversation with President Trump. We reviewed our bilateral cooperation in trade, defence, energy, critical technologies and other areas," Modi said.

"We agreed to maintain close engagement to take our Comprehensive Global Strategic Partnership forward," he added.

The two leaders also discussed "regional and international issues, including ongoing efforts to advance global peace and security," Modi said.

Notably, External Affairs Minister S Jaishankar recently met US Secretary of State Marco Rubio on the sidelines of the UN General Assembly in New York, where he rasied India's concerns related to SRIA.

"Good to meet @SecRubio of the US #UNHighLevelWeek. Reiterated India's interests and concerns with regard to SRIA. Also discussed the Gulf and Ukraine situations," he had said.

The latest conversation between Trump and Modi comes amid Union Commerce Minister Piyush Goyal's visit to the US from September 29 to October 5 for discussions on the proposed India-US Bilateral Trade Agreement and an interim arrangement.

Goyal is expected to hold talks with US counterparts as both sides work towards an interim trade deal, alongside negotiations on the broader agreement.

India and the US in February announced the finalisation of the framework for the first phase of the BTA. However, changes in the US tariff landscape have led to further negotiations on the pact.

Goyal on September 24 said that the trade pact is "done and dusted" and will be executed once the US gives India the right competitive advantage over its competitors in the American market.

At present, Indian goods attract an additional 10% duty. It was imposed under a Section 301 probe, citing concerns related to "forced labour".

Notably, India's exports to the US increased by 21.83% to $8.4 billion in August, while imports rose 65.78% to $5.97 billion, according to Commerce Ministry data.

During April-August 2026-27, India's merchandise exports to the US grew 6.17% to $42.8 billion, while imports increased 29.6% to $28 billion.

The US was India's largest trading partner in 2025-26, with bilateral merchandise trade worth $132.2 billion, comprising exports of $86.51 billion and imports of $45.62 billion.

India's major merchandise exports include electronic goods, engineering products, and drugs and pharmaceuticals, while imports include crude petroleum, electronic items and industrial machinery.

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