India Keeps Close Watch on US-China Trade War, Strengthens Indo-US Security Cooperation

New Delhi [India], April 13: As the United States and China remain locked in a tariff war that many experts now term a “trade embargo” due to its scale and intensity, India is closely observing the developments, considering both opportunities and challenges that may arise. Tanvi Madan, Senior Fellow at the Brookings Institution, highlighted the implications during the Carnegie Global Tech Summit.
Speaking to ANI about the impact of the ongoing trade war, Madan remarked, “I think India is going to be watching very carefully what the developments are in the US-China trade war.” She noted that while the conflict may create challenges for India, it could also pave the way for strategic opportunities. “For example, there are certain Indian products that if there’s a US-India deal, might actually get better access to the market or even replace certain Chinese products,” she explained.
However, Madan acknowledged that India faces risks such as dumping of goods from China, which could disrupt domestic markets. “If China can’t export to the US, where are those products going to go? Either they’ll come to places like India or they’ll go to other markets, Europe, the global South, where India also has markets and so we’ll have to compete at a different level,” she warned.
Beyond trade dynamics, Madan reflected on the growing Indo-US partnership in the realm of security cooperation, particularly since the 26/11 attacks that claimed the lives of both Indians and Americans. She pointed out enhanced collaboration between the two countries in areas such as counterterrorism, homeland security, and intelligence sharing.
“We’re seeing the signs of both a broader cooperative relationship and the benefits of that, but also very specific counterintelligence, counterterrorism, and intelligence cooperation, along with homeland security cooperation over the years,” Madan stated.
As India navigates the complexities of global trade shifts and deepens its security ties with the US, the developments present a multifaceted challenge requiring strategic foresight and active engagement in bilateral and multilateral spheres.