India, US sign 10-year defence cooperation pact amid tariff tensions

Agreement to expand coordination, tech sharing and regional security as both sides work to finalise trade deal

India and the United States have signed a 10-year framework agreement to deepen defence cooperation, marking a major step in their strategic partnership amid ongoing trade negotiations and geopolitical tensions, BBC reported.

The pact was announced after a meeting between US Defence Secretary Pete Hegseth and Indian Defence Minister Rajnath Singh in Kuala Lumpur. The two sides said the agreement will enhance coordination, intelligence sharing, and defence technology collaboration to strengthen regional security and deterrence.

“This agreement provides long-term policy direction for our defence engagement and reflects our shared commitment to a free, open, and rules-based Indo-Pacific,” Singh said in a statement on X. Hegseth described the pact as a move to “advance regional stability and cooperation.”

The agreement comes as the two nations attempt to repair strained ties following the imposition of 50% tariffs on Indian goods by US President Donald Trump and a 25% penalty on India’s imports of Russian oil and weaponry. Officials said the new framework will serve as a roadmap for defence collaboration over the next decade.

Analysts noted that the deal had been delayed since mid-2025 due to diplomatic friction over Trump’s remarks about mediating between India and Pakistan. “It was expected earlier this year, but tensions pushed it back,” said Pramit Pal Chaudhuri of the Eurasia Group.

Chaudhuri added that the latest pact complements previous defence agreements that improved interoperability between the two militaries, opened access to US technology, and promoted joint production initiatives. “This one builds on all three,” he said.

Defence cooperation has been a key element of recent high-level discussions between Prime Minister Narendra Modi and President Trump. Earlier this year, both leaders pledged to expand defence trade, including potential sales of F-35 stealth fighters to India.

However, Washington’s concerns over New Delhi’s continued purchases of discounted Russian oil and its longstanding military ties with Moscow have complicated relations. Russia remains India’s largest arms supplier, though its share of India’s defence imports has been declining as India seeks to diversify suppliers and expand domestic manufacturing.

Officials said the new agreement is also expected to align with ongoing trade talks aimed at finalising a deal by November.

Monitoring Desk
Monitoring Desk
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