The U.S.-India Relationship: A Tale of Missed Opportunities and Diverging Strategies

The United States and India share many natural alignments: democratic values, a commitment to capitalism, along with a mutual interest in countering China’s growing influence. Yet, despite these shared interests, the relationship between the two nations has been inconsistent, shaped by contrasting approaches under recent administrations and divergent priorities. This mismatch has hindered the potential for meaningful collaboration, particularly in economic and strategic arenas.

Trump’s Small-Step Approach: Building Bridges

During his first term, President Donald Trump made notable strides in improving U.S.-India relations. Trump’s approach focused on pragmatism and incrementalism, targeting areas of mutual benefit like trade, manufacturing, and defense cooperation. By prioritizing tangible, low-risk goals—such as shifting supply chains from China to India and increasing U.S. arms sales—Trump avoided pressuring India on contentious issues like climate policy or its ties with Russia. His efforts, including high-profile meetings with Prime Minister Narendra Modi, laid a foundation for economic engagement and strategic alignment.

Trump’s style resonated with India, which values strategic autonomy and is hesitant to commit to sweeping policy changes. His transactional approach, focusing on immediate, practical benefits, gave India the space it needed to engage without feeling overwhelmed by ideological demands.

Biden’s Broad-Ask Diplomacy: Straining the Relationship

In contrast, President Joe Biden’s administration has taken a more idealistic and multilateral approach, emphasizing human rights, climate change, and global governance reforms. While these are noble goals, they often clash with India’s priorities, such as economic growth, technological advancement, and national security.

For example, the Biden administration’s push for India to reduce its reliance on Russian military equipment or take stronger stances on global climate initiatives has not been well-received in New Delhi. India’s government, facing its own challenges—from border tensions with China to economic recovery—sees these demands as impractical and misaligned with its immediate needs.

Adding to the strain, India’s increasing engagement with BRICS (Brazil, Russia, India, China, South Africa) highlights its commitment to a multipolar world. This move has raised eyebrows in Washington, where India’s partnerships with Russia and China are viewed with skepticism. However, from India’s perspective, these relationships are pragmatic rather than ideological, providing economic and geopolitical balance.

The Real Issue: A Clash of Strategies

The crux of the problem lies in the approach. Trump’s incremental, small-step strategy allowed for progress without overwhelming India with large, politically sensitive demands. On the other hand, Biden’s broad-ask diplomacy, asking India to address a host of global challenges alongside economic cooperation which has created friction.

India is not opposed to deeper ties with the U.S., but it prioritizes practicality over ideology. When faced with demands to make sweeping changes—whether on human rights, energy policy, or military alliances—India’s government has opted to tread cautiously. The perception in New Delhi is that the U.S. often asks too much, too soon, rather than working collaboratively on smaller, achievable goals.

Why This Matters: Missed Opportunities

This misalignment has led to tangible missed opportunities:

  1. Economic Growth and Supply Chains: While the U.S. has sought alternatives to China for manufacturing, India’s potential as a hub has been underutilized. Legal and bureaucratic hurdles in India are real, but rather than addressing these incrementally, U.S. businesses often look elsewhere—to Vietnam, Mexico, or South America.
  2. Strategic Alliances: Despite shared concerns about China’s aggression, cooperation between the two nations on defense and technology has not reached its full potential. India’s reluctance to fully align with U.S. priorities on Russia and other issues has slowed progress.
  3. Perception and Trust: The lack of a clear, pragmatic roadmap has left both sides frustrated. India feels the U.S. is asking for too much without offering sufficient incentives, while the U.S. perceives India as hesitant and unreliable.

Looking Ahead: The Role of Leadership

With Biden’s term nearing its end, speculation is growing about how a potential second Trump term might reshape U.S.-India relations. Trump’s focus on manufacturing, trade, and defense could align more closely with India’s current priorities. A return to small-step diplomacy might help rebuild trust and create a more productive partnership.

India, too, has a role to play. Simplifying its business environment and addressing bureaucratic hurdles could make it more attractive to U.S. companies. A stronger economic relationship would naturally pave the way for deeper strategic and ideological alignment over time.

Conclusion: A Path Forward

The U.S.-India relationship has immense potential, but realizing it requires a shift in approach. Instead of overwhelming India with sweeping demands, the U.S. should focus on incremental progress. Start with tangible goals—such as improving trade frameworks or addressing specific business challenges—and build from there. This strategy would not only strengthen economic ties but also create a foundation for addressing larger global challenges together.

India and the U.S. are natural allies in many ways, but partnerships require understanding and patience. By aligning their strategies and focusing on mutual gains, these two democracies can forge a stronger, more meaningful relationship—one step at a time.

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