US President Donald Trump, during his UK visit, said he is “very close to India and PM Modi” and that both “share very good relations”. This marks a sharp shift from his earlier criticism of India’s tariff regime and suggests a thaw in trade tensions between the two countries.
From Tariff Criticism to Praise
Trump, who had repeatedly called out India over tariffs during his previous term, is now publicly praising the Modi government on the same issue. Market watchers say the change signals easing tensions and potentially stronger US–India ties.
What Anil Singhvi Decodes for Dalal Street
Zee Business Managing Editor Anil Singhvi said Trump’s changed stance could prove “extremely positive for market sentiment” in India. According to Singhvi, if this softer tone translates into concrete policy moves, it could:
Add Zee Business as a Preferred Source
Remove a key overhang on Indian equities and support foreign inflows
Reduce uncertainties around trade and tariffs that had weighed on exporters
Boost investor confidence in sectors most sensitive to US–India ties
He also explained that Trump’s comments on energy and trade could have ripple effects globally. “Lower oil prices benefit India directly through reduced import bills and improved corporate margins,” Singhvi noted, adding that markets will closely track how the US positions itself on China and Russia in the coming months.
Broader Global Context
In the same interaction, Trump criticised European countries for buying oil from Russia while calling for lower crude prices to pressure Moscow into a deal. He also highlighted that the US has imposed “very high tariffs” on China and hinted at tougher measures, but acknowledged some actions are “no longer possible”.
