Donald Trump 2.0 is not a challenge for us, says EAM S Jaishankar

External Affairs Minister S Jaishankar, during an interactive session at ASSOCHAM in New Delhi on Thursday (December 5), emphasized India’s advantageous political relationship with US President-elect Donald Trump, stating that India is in a “much more advantageous position” compared to many other countries in strengthening ties with Trump’s second term.

Trump's positive political view of India

Jaishankar reflected on the enduring political rapport between India and Trump, noting, "We'll have to work out a political equation with America and that is one area where we score because we've always had a positive political relationship with Trump. I would say Trump has always had a positive political view of India."

India's advantage in strengthening US-India ties

He added that while India, like other nations, may face certain challenges, it remains in a strong position to capitalize on Trump 2.0 to deepen the US-India relationship. "Like everybody else, we may also have some issues. We will deal with those issues, but I would say when I look around the world today, you know there are countries who (are) looking at Trump 2.0 as a political challenge. We are not," Jaishankar stated, positioning India as a key partner for the US.

"And I think that separates us from a very large number of countries. We are in a much more advantageous position to translate 2.0 into a deeper relationship," he added.

Growing importance of India in technology

The external affairs minister also highlighted the growing importance of India in the tech sector, noting that the US would need India in many areas where they are aiming to take the lead in emerging and critical technologies. "The two countries will have to build an understanding of mutual benefits and relationships in several areas like emerging and critical technologies as trusted partners," Jaishankar said.

Addressing concerns about Trump’s policies

Jaishankar also addressed concerns surrounding the Trump administration's policies, particularly on tariffs, climate change, and foreign policy priorities, amidst global issues such as the Russia-Ukraine conflict and tensions in West Asia. He indicated that India would work with the US in navigating these challenges while ensuring the best outcomes for both countries.

India’s Free Trade negotiations with the EU and UK

On trade relations, Jaishankar discussed India’s efforts to negotiate free trade agreements with the European Union and the UK. He acknowledged the complexity of harmonizing interests among multiple EU member states but stressed that these agreements would ultimately benefit India. “In the case of the EU, there are multiple members. So everybody has their interest. So how to harmonize it? That is a challenge. But overall we believe that it will benefit us,” he said.

European markets as stable and predictable

The external affairs minister also described European markets as stable and predictable, encouraging greater efforts to improve access to these markets for India. "I would say from an economic standpoint, we should definitely put great effort into improving our access with Europe. In many ways, the risk factors are much less than in many other parts," he said.

India's changing global perception under PM Modi

Jaishankar noted that the global perception of India has significantly changed in the last decade, largely due to the leadership of Prime Minister Narendra Modi. He said that the third consecutive term of the Modi government has impressed many world leaders, solidifying India's position on the global stage.

MSMEs and India’s economic growth

Turning to the role of Micro, Small, and Medium Enterprises (MSMEs) in India’s economic growth, Jaishankar reaffirmed the government’s commitment to improving competitiveness and creating more manufacturing zones. "We have to create more manufacturing zones, improve logistics and make ourselves more competitive. I think we have made progress but there is a lot we will have to do," he said.

Government’s efforts to protect MSMEs in trade agreements

The government has been mindful of protecting the interests of MSMEs, especially when negotiating free trade agreements, he added.

He pointed out that the government has sought a review of India’s free trade agreement with ASEAN, noting the negative impact it has had on India's agriculture and MSMEs.