'My Friend': Here's what PM Modi said on Trump's Gaza peace plan, India-US trade talks

Amid signs of easing tension between India and the US after President Donald Trump imposed a 50% tariff duty on a host of India's exports, Prime Minister Narendra Modi congratulated Trump on the success of the historic Gaza peace plan. Calling him "my friend", PM Modi said in his call to Trump, they reviewed the progress being made on the India-US trade talks. "Spoke to my friend, President Trump and congratulated him on the success of the historic Gaza peace plan. Also reviewed the good progress achieved in trade negotiations. Agreed to stay in close touch over the coming weeks," PM Modi said on X.

PM Modi and the US President are expected to meet in the upcoming ASEAN and East Asia Summits this month if they attend the event. PM Modi's remarks on the progress being made on the India-US trade front are significant, as External Affairs Minister S Jaishankar last Sunday cautioned against reading too much into the issues that have emerged since Trump imposed heavy duties on Indian exports, though clarifying that the two countries have not reached a common ground as of now.

Trump on Thursday said Israel and Hamas have finalised the first phase of the U.S.-brokered peace plan. This comes after two years of conflict between the warring factions—Israel and Hamas. It may be noted that on October 7, 2023, Hamas launched sudden attacks on Israel, killing over 1200 people and taking over hundreds of hostages. The U.S. President earlier claimed the first phase of talks between Israel and Hamas on a Gaza peace deal is set to be completed by the end of this week. He warned about the urgency of the issue, cautioning that bloodshed could follow otherwise.

To minimise the impact of the US tariffs, India has also expedited its trade talks with several countries in recent months. It signed the India-U.K. Comprehensive Economic and Trade Agreement in July. The India-European Union FTA negotiations are in advanced stages, while the India-Oman FTA talks have concluded. The expansion of the India-Australia Comprehensive Economic Cooperation Agreement is underway, as are the FTA talks with South American countries such as Peru and Chile. The review of existing FTAs with ASEAN and Korea aims to strengthen India’s export base, making it a resilient trading power immune to the U.S.’s mood swings. At the SCO meeting and the July BRICS summit, India made its plans clear—to future-proof trade.

India’s stoicism initially irked Trump, but true to his nature, he softened his rhetoric last month, praising New Delhi and announcing the continuation of talks. “I feel certain that there will be no difficulty in coming to a successful conclusion for both of our Great Countries!”

Prime Minister Modi, meanwhile, also called Israeli Prime Minister Benjamin Netanyahu to congratulate him on the progress made under President Trump’s Gaza peace plan. "We welcome the agreement on the release of hostages and enhanced humanitarian assistance to the people of Gaza. Reaffirmed that terrorism in any form or manifestation is unacceptable anywhere in the world," the PM said on X.