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Business Standard
9 hours ago
- Business
- Business Standard
US balks at India-Russia defence ties: What's delaying Washington's deals?
On Tuesday (June 3), US Secretary of Commerce Howard Lutnick delivered a message that many in New Delhi may have long suspected but seldom heard in such stark terms. Speaking at the US-India Strategic Partnership Forum (USISPF) Leadership Summit, Lutnick said past Indian decisions, like defence purchases from Russia and participation in Brics, have 'rubbed the United States the wrong way". 'That's a way to kind of get under the skin of America,' he said, singling out India's military ties with Moscow and its presence in groupings like Brics, which is perceived to challenge the dollar's global dominance. The message was blunt, but it revealed a deeper truth, despite a loud strategic and diplomatic embrace - the India-US defence partnership remains affected by mistrust, mismatched expectations, and mounting delays. Why India-US defence partnership has not taken off Over the last two decades, India has procured nearly $20 billion worth of US-origin military hardware, ranging from C-17 Globemaster and C-130J aircraft to Apache helicopters and M777 howitzers. More recently, India signed agreements for 31 MQ-9B SeaGuardian drones, GE jet engines for fighter aircraft, and joint production of Javelin anti-tank missiles and Stryker infantry vehicles. But in reality, these headlines hide a growing frustration in New Delhi. Nearly all major US-origin defence deals announced in recent years are yet to materialise. Deliveries of GE-404 jet engines, which are critical to India's indigenous Tejas fighter jet programme, have been delayed, setting the project back by at least two years. Additionally, the long-touted Indo-Pacific maritime awareness package, including the SeaVision surveillance system approved in May 2025, is yet to be delivered. Even the high-profile MQ-9B drone deal remains tangled in a web, with final assembly and maintenance arrangements still being ironed out. These delays have cast a shadow over the defence relationship, particularly when juxtaposed with India's parallel defence partnership with Russia. Despite geopolitical turbulence, India and Russia continue to co-develop and manufacture systems like the BrahMos missile and AK-203 rifles under the Make in India programme. Their long-standing cooperation is institutionalised through the Inter-Governmental Commission on Military Technical Cooperation (IRIGC-MTC). US' hesitancy in providing defence equipment and India's 'Aatmanirbhar' push At the heart of the India-US defence dilemma lies a fundamental misalignment of priorities. India seeks co-development, joint production, and above all, meaningful technology transfer to boost its self-reliance (Aatmanirbhar Bharat). The US, on the other hand, largely views India as a lucrative arms market, offering equipment but rarely the underlying know-how. Even when co-production is agreed upon, the technologies involved are dated and old. The Javelin missile, developed in 1989 and inducted in 1996, and the Stryker vehicle from the early 2000s, are far from cutting-edge. While still effective, they represent a bygone era of warfare. In contrast, the future battlefield is increasingly being shaped by AI-enabled systems, autonomous drones, and electromagnetic weapons, domains where US-India collaboration has seen little progress. The contrast is not just technological but economic. A single Javelin missile costs $216,717 (roughly ₹1.9 crore), while a Ukrainian anti-tank drone capable of the same battlefield effect costs just $500 (₹43,685). For India, reliant on cost-effective solutions, the Javelin is a white elephant. What are the regulatory barriers hindering India-US defence partnership? India's quest for deeper military-technical collaboration with the US is hindered by a thicket of regulatory and legal barriers in the latter nation. US laws like the Arms Export Control Act (AECA) and International Traffic in Arms Regulations (ITAR) severely restrict technology transfers, especially for systems involving nuclear propulsion or fifth-generation fighter capabilities. Conversely, India's defence procurement system, marked by sluggish approvals, budget mismatches, and delayed offset clearances, discourages even the most well-meaning US defence firms. Structural misalignments and unresolved intellectual property concerns further hinder joint ventures. The Defence Technology and Trade Initiative (DTTI), once hailed as a breakthrough framework for co-development, has largely under-delivered. India's geopolitical diplomacy a thorn in US' eyes India's insistence on strategic autonomy and refusal to enter formal alliances remains a sticking point. While Washington expects alignment in Indo-Pacific military postures, New Delhi walks a tightrope, maintaining ties with the US, Russia, and France in equal measure. This balancing act has drawn flak in Washington. India's purchase of the Russian S-400 missile system exposed it to potential US sanctions under the CAATSA (Countering America's Adversaries Through Sanctions Act) law. While the Biden administration held back, the unpredictability of US foreign policy under the Trump administration makes long-term defence planning increasingly difficult for India. What is the size of India's arms import? According to the Stockholm International Peace Research Institute (SIPRI), India was the world's largest arms importer between 2019 and 2023, accounting for 9.8 per cent of global imports. In value terms, India's arms imports in 2023 stood at $1.43 billion (in constant 1990 dollars), with Russia still being the largest supplier, although its share has declined from 76 per cent (2009–13) to 36 per cent (2019–23). France and the US have been the biggest gainers. Therefore, as Lutnick's remarks make clear, the India-US defence relationship may be moving forward, but it is still dragging its feet.
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First Post
11 hours ago
- Business
- First Post
What the US gets wrong about India's Brics membership and Russian arms buys
US Commerce Secretary Howard Lutnick said that India being a part of Brics, which he sees as a grouping that is bent on not supporting the dollar and dollar hegemony, is 'not really the way to make friends and influence people in America' read more US Commerce Secretary Howard Lutnick recently remarked that India's historical preference for Russian military equipment and its participation in Brics have been points of contention in US-India relations. Speaking at the eighth US-India Strategic Partnership Forum in Washington, DC, he said, 'There were certain things that the Indian government did that generally rubbed the United States the wrong way[…]For instance, you generally buy your military gear from Russia. That's a way to kind of get under the skin of America if you're going to buy your armaments from Russia.' STORY CONTINUES BELOW THIS AD Lutnick further said that India being a part of Brics, which he characterised as a grouping that is bent on not supporting the dollar and dollar hegemony, is 'not really the way to make friends and influence people in America.' However, his perspective overlooks the nuanced historical and strategic factors that have shaped India's defence procurement and multilateral engagements. Historical context of India's defence procurement India's reliance on Russian arms is rooted in historical circumstances, not its membership of Brics. In fact, it is also very closely linked to the US foreign policy during the 1960s-70s. During the Cold War, the United States aligned with Pakistan, providing it with military support to counter Soviet influence in the region. Consequently, India turned to the Soviet Union for defence equipment, leading to a longstanding partnership that included the supply of MiG-21 jets, T-55 tanks, and other military hardware. This relationship was further solidified during the 1971 Indo-Pakistani War, when the Soviet Union supported India diplomatically and militarily, while the US sided with Pakistan. The Indo-Soviet Treaty of Friendship and Cooperation signed in 1971 exemplified this strategic partnership. Even in the post-Cold War era, the US weapons exports continued to come with many strings attached. In several of its arms deals, Washington has gone so far as to impose conditions about how the buyer nation may use these systems. A prime example is the restriction on Pakistan for how it may use the US-made F-16s. It is not surprising that this hegemonic attitude from Washington has kept buyers at bay. STORY CONTINUES BELOW THIS AD Evolving defence partnerships In recent years, India has diversified its defence procurement, reducing its reliance on Russian equipment. The share of Russian arms in India's imports decreased from 76 per cent in 2009 to 36 per cent in 2023. India has increasingly engaged with Western suppliers, notably the US and France, acquiring advanced systems such as the Rafale fighter jets and P-8I maritime patrol aircraft. Collaborative initiatives like the Defence Technology and Trade Initiative (DTTI) and INDUS-X have further strengthened US-India defence ties, focusing on the co-development and co-production of military technologies. India's role in Brics India's participation in Brics is often viewed through the lens of its relations with Russia and China. However, India has used its position within the grouping to advocate for reforms in global governance and to promote the interests of the Global South. India has also resisted efforts by China to dominate the Brics agenda, particularly regarding initiatives like the Belt and Road Initiative. By remaining in Brics, India serves as a counterbalance to China's influence, ensuring that the bloc does not become a platform for Chinese geopolitical ambitions— something the US would also want. This strategic engagement allows India to maintain its autonomy while contributing to a multipolar world order. Rather than viewing India's actions as contrary to US interests, recognising the complexities of its foreign policy can pave the way for deeper and more meaningful cooperation between the two democracies. Alas, Lutnick has not gotten that quite right. With inputs from agencies
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Business Standard
14 hours ago
- Business
- Business Standard
India's Russia ties, Brics role 'rubs US the wrong way': US Commerce Secy
US Secretary of Commerce Howard Lutnick said that past Indian policies, including defence purchases from Russia and participation in Brics, 'rubbed the United States the wrong way", but added that the two countries are now moving towards a more constructive and strategic relationship. 'There were certain things that the Indian government did that generally rubbed the United States the wrong way,' Lutnick said during his keynote address at the eighth edition of the US-India Strategic Partnership Forum (USISPF) Leadership Summit on Monday. 'For instance, you generally buy your military gear from Russia. That's a way to kind of get under the skin of America… Being a part of Brics, which is, oh, let's move to not support the dollar and dollar hegemony — that's not really the way to make friends and influence people in America.' India-Russia defence partnership India and Russia have worked together on developing and producing defence equipment, including projects like the BrahMos cruise missile and AK-203 rifles. Under India's Make-in-India push, both countries are increasing joint manufacturing to support and maintain Russian-made arms in India. Their cooperation is managed through the India-Russia Inter-Governmental Commission on Military Technical Cooperation (IRIGC-MTC). Trump's criticism of Brics US President Donald Trump has been vocal about his opposition to Brics, particularly its efforts to reduce reliance on the US dollar. He has repeatedly warned Brics nations against creating an alternative global reserve currency, even threatening 100-150 per cent tariffs on member states if they pursued such a move. Trump has described Brics as 'dead' following his tariff threats, claiming that the bloc has gone silent since his warnings. India is one of the founding members of the intergovernmental organisation Brics, which consists of Brazil, Russia, India, China, South Africa, Egypt, Ethiopia, Indonesia, Iran, and the UAE. Trump's complex relationship Russia Trump's relationship with Russia has been complex. While he has criticised Vladimir Putin's actions in Ukraine, he has also expressed interest in large-scale trade with Russia once the war ends, calling its economic potential 'unlimited'. Trump has also signaled a geopolitical shift, suggesting that the US could align more closely with Russia to counter China. However, experts argue that Putin is unlikely to abandon his partnership with China in favour of Trump's unpredictable diplomacy. Lutnick praises India for addressing US concerns Lutnick, however, praised the Indian government for acknowledging and addressing these sensitive issues. 'The President (Trump) calls that out directly and specifically, and the Indian government is addressing it specifically. And that's how you move on to a really positive place. Put it on the table, address it straight on, resolve it straight on and get to a really good place. And I think that's where we are,' he said. Last month, the US approved a possible $131 million arms sale to India to boost its maritime surveillance capabilities in the Indo-Pacific. The deal is part of growing defence cooperation between the two countries as strategic tensions in the region rise. During his visit to India, US Vice President JD Vance also urged New Delhi to increase its purchases of American military equipment.
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First Post
15 hours ago
- Business
- First Post
‘You buy Russian arms… stay in Brics bloc': US Secy looks rattled by India's defence, diplomatic policies
US Commerce Secretary Howard Lutnick has flagged India purchases of Russian military gear and membership of Brics and said that such activities 'get under the skin' of the United States are not 'the way to make friends'. read more U.S. President Donald Trump holds an executive order about tariffs increase, flanked by U.S. Commerce Secretary Howard Lutnick, in the Oval Office of the White House in Washington, D.C. File image/ Reuters US Commerce Secretary Howard Lutnick has outlined India's activities gets 'under the skin' of the United States. Speaking at the US-India Strategic Partnership Forum in Washington DC, Lutnick flagged India's purchase of military gear from Russia and membership of Brics. Lutnick said, 'There were certain things that the Indian government did that generally rubbed the United States the wrong way. For instance, you generally buy your military gear from Russia. That's a way to kind of get under the skin of America if you're going to buy your armaments from Russia.' STORY CONTINUES BELOW THIS AD As for the Brics, Lutnick said that the bloc's purported 'move to not support the dollar and dollar hegemony' is 'not really the way to make friends and influence people in America'. #WATCH | Washington DC | US Secretary of Commerce Howard Lutnick says, "...There were certain things that the Indian government did that generally rubbed the United States the wrong way. For instance, you generally buy your military gear from Russia. That's a way to kind of get… — ANI (@ANI) June 3, 2025 For a long time, US President Donald Trump and his aides have criticised India for buying military equipment from other countries. They have also criticised Brics, which they accuse of trying to de-dollarise the world economy. India has repeatedly rejected the charge that Brics is working towards either de-dollarisation or floating any Brics-specific currency. 'I don't think there's any policy on our part to replace the dollar. As I said, at the end of the day, the dollar as the reserve currency is the source of international economic stability. And right now, what we want in the world is more economic stability, not less,' External Affairs Minister S Jaishankar said in March. STORY CONTINUES BELOW THIS AD In his remarks, Lutnick went on to say that the Trump administration and India are working to address the twin issues he flagged. 'The President calls that out directly and specifically, and the Indian government is addressing it specifically. And that's how you move on to a really positive place. Put it on the table, address it straight on, resolve it straight on and get to a really good place. And I think that's where we are,' said Lutnick. As for ongoing trade talks between the two countries, Lutnick said that the trade deal could be finalised in the 'not-too-distant future'.
South China Morning Post
19 hours ago
- Business
- South China Morning Post
Lutnick ‘optimistic' for US-India deal, urges New Delhi to step back from Brics
US Commerce Secretary Howard Lutnick said he is optimistic that the United States and India will reach a trade agreement soon, but urged New Delhi to open its markets, reduce arms purchases from Moscow, and scale back its alignment with Brics – a bloc that India leads along with China, Russia, Brazil and South Africa. 'I think India is trying hard to be one of the earlier countries [to reach a trade deal with the US], which I appreciated,' Lutnick said in a keynote speech at an event promoting US-India economic ties in Washington on Monday. 'But what I hope to achieve is we would like market access. We would like our businesses to have reasonable access to the markets of India … We want to have the trade deficit reduced,' he told the US-India Strategic Partnership Forum's Leadership Summit. 'Now in exchange for that, what India is going to want is ... certain key markets … to make sure that they have special access to the American marketplace,' he added. Despite the ongoing trade saga between China and the US, the official did not mention Beijing, but urged Delhi to distance itself further from Russia and China, citing the Russia-India arms trade and de-dollarisation efforts undertaken by the Brics grouping. Brics – an acronym for founding members Brazil, Russia, India, China and South Africa – is an association of 10 leading emerging markets. The other member states are Egypt, Ethiopia, Indonesia, Iran and the United Arab Emirates.
