“Modi didn’t call, so trade deal didn’t happen”: US commerce secretary

The proposed India-US trade deal collapsed partly because Prime Minister Narendra Modi did not call US President Donald Trump , US Commerce Secretary Howard Lutnick has revealed. The development comes against the backdrop of India continuing to buy cheap Russian oil despite US sanctions on Moscow.

Lutnick made the comments in a podcast on Thursday, shortly after Trump criticized India’s oil purchases from Russia, warning that Washington could raise tariffs on Indian goods “very quickly” if concerns were not addressed. The trade deal, which had seen six rounds of negotiations , was expected to tackle the 50 per cent tariffs levied on Indian exports to the United States.

According to Lutnick, he asked Modi to speak directly with Trump to finalize the deal, but India was “uncomfortable,” and the call never took place. “So Modi didn't call,” he said, highlighting a key diplomatic gap that stalled the negotiations.

The US commerce secretary also noted that while negotiations with India dragged on, Washington successfully concluded trade agreements with Indonesia , the Philippines , and Vietnam . “We assumed India was going to be done before them… Now the deals came out at a higher rate. Then India calls back and says, ‘Oh, okay, we are ready’. I said, ready for what,” Lutnick remarked.

The situation underscores the delicate balance India is attempting to maintain: securing energy supplies at lower costs from Russia while navigating trade and diplomatic pressures from the United States . Analysts say this tension may continue to shape bilateral talks, particularly as India seeks affordable energy amid rising global prices. Observers note that India’s approach reflects its emphasis on strategic autonomy , carefully managing international partnerships to safeguard national interests without being overly dependent on any single country.