US Commerce Sec. Lutnick claims India trade deal didn’t happen as ‘Modi did not call Trump’
By Anjali Sharma
WASHINGTON – US Commerce Secretary Howard Lutnick on Friday has claimed that the trade deal between India and the US did not happen as Prime Minister Narendra Modi did not place a call to US President Donald Trump.
In a conversation with American venture capitalist Chamath Palihapitiya, as part of the ‘All-In Podcast’ on Thursday Lutnick said that while contracts were negotiated and the entire deal structure was prepared, the final step required direct, leader-level engagement.
“I would negotiate the contracts and set the whole deal up, but let’s be clear. It’s his (Trump’s) deal. He’s the closer. He does it. It’s all set up, you got to have Modi, call the President. They were uncomfortable doing it. So Modi didn’t call. That Friday left, in the next week we did Indonesia, the Philippines, Vietnam, we announced a whole bunch of deals,” the US Commerce Sec said.
Lutnick stressed that Trump’s broader trade negotiation strategy, described it as a “staircase” model.
According to him, countries that moved first received the best possible terms, while those that followed later were offered progressively higher rates.
Lutnick said Trump was asked about which country would be next, and India was publicly named multiple times referred to the first trade deal with the United Kingdom.
He said India was given “three Fridays” to close the deal, effectively putting it on a “short clock.”
According to Lutnick, India did not meet the deadline and as a result, the US moved ahead with trade agreements with several Asian countries, including Indonesia, the Philippines, and Vietnam, announcing a series of deals across Asia.
Lutnick said these agreements were negotiated at higher rates, as the US had initially assumed that India’s deal would be completed earlier.
India approached the US, around three weeks after the deadline, seeking to proceed, it was told that the opportunity had passed.
Lutnick stated that despite India maintaining a firm position on continuing oil trade with Russia, New Delhi would eventually return to the table to strike a deal with Washington in the coming months
He was speaking to Bloomberg TV, had said, “So I think, yes, in a month or two months, I think India is going to be at the table and they’re going to say they’re sorry and they’re going to try to make a deal with Donald Trump.”
He cautioned that India would face consequences if it failed to align with the US. “If India does not support the United States, they will have to pay 50 per cent tariffs on its exports to the US,” he warned.
Trump has imposed tariffs on countries that were major exporters to the US, including India and China. There is a 50 per cent tariffs on goods from India entering the United States since August 2025.
