Lutnick Claims Modi’s Reluctance to Contact Trump Delayed Trade Agreement

US-India Trade Agreement Stalled Over Missed Call, Says Commerce Secretary

Photographer: Prakash Singh/Bloomberg

According to US Commerce Secretary Howard Lutnick, a trade agreement between the United States and India failed to come together last year because Indian Prime Minister Narendra Modi did not reach out to then-President Donald Trump by phone.

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During a recent podcast appearance, Lutnick explained that India was given three consecutive Fridays to finalize a trade pact with the US, but the agreement hinged on Modi making a direct call to Trump. Lutnick stated that India was expected to finalize a deal before similar agreements with Vietnam and Indonesia, which were completed in mid-2025. However, the process stalled because Indian officials were hesitant to arrange a conversation between Modi and Trump.

“I told them, everything is ready, but Modi needs to call the president. They were reluctant to do so,” Lutnick recounted on the All-In Podcast released Friday. “So, Modi never made the call.”

India later refuted these claims, calling the description of the negotiations inaccurate. Randhir Jaiswal, spokesperson for India’s Ministry of External Affairs, told reporters in New Delhi that the two countries had nearly reached a trade agreement on several occasions, and that Modi and Trump had spoken by phone eight times in the previous year.

India remains one of the few major economies yet to secure a trade deal with the US. In August, Trump imposed a 50% tariff on Indian exports—the highest in Asia—partly in response to India’s continued purchase of Russian oil after the Ukraine conflict began.

These tariffs have strained the longstanding partnership between the two nations and remain in effect despite numerous rounds of negotiations. Since September, Trump and Modi have spoken four times in attempts to mend relations, but no date has been set for a new trade agreement. Additionally, Trump has frustrated Indian officials by repeatedly claiming he negotiated a ceasefire between India and Pakistan during a brief armed clash in May, a claim India has denied.

Reporting by Sudhi Ranjan Sen contributed to this story.

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