US vows it will not repeat China trade mistakes with India

The United States will prioritize its national interests while expanding economic engagement with India and will avoid repeating the trade policy mistakes it believes it made with China two decades ago, a senior American diplomat said on March 5.

Speaking at the Raisina Dialogue in New Delhi, Christopher Landau said Washington has drawn clear lessons from its past economic engagement with China and will approach its growing trade partnership with India with greater strategic clarity.

Landau emphasized that the US will ensure any economic arrangement remains fair to American workers and businesses.

“India should understand that we’re not going to make the same mistakes with India that we made with China 20 years ago,” he said, referring to past trade policies that Washington believes allowed Chinese industries to gain significant global competitive advantages.

The senior diplomat said the US government remains accountable to its own citizens when negotiating economic agreements.

“We’re going to make sure that whatever we do is fair to our people because, ultimately, we have to be accountable to our own people, just as the government of India has to be accountable to its people,” he said.

‘America first does not mean America alone’

Landau also clarified that the “America First” policy championed by Donald Trump does not imply isolation from global partnerships.

Instead, he said the policy recognizes that sovereign nations pursue their own national interests while cooperating where those interests align.

“Just as President Trump wants to make America great again, he would expect the Prime Minister of India or other leaders to want to make their countries great again,” Landau noted.

India’s rise central to the 21st century

Highlighting India’s expanding global role, Landau said the country’s economic and demographic strength will make it a defining force in the coming decades.

“One of the things that is undeniable is that this century is going to be, in many ways, a century in which we expect to see the rise of India,” he said, pointing to its status as the world’s most populous nation and its growing economic influence.

He added that the strengthening US-India partnership is based on shared strategic interests rather than goodwill alone.

“I’m not here to do social work or charity. I’m here because it’s in the interest of our country, and we think it’s also in the interest of India to deepen our partnership,” Landau said.

Trade deal nearing completion

The US official also expressed optimism about ongoing negotiations for a bilateral trade agreement between the two countries, saying discussions are “almost at the finish line”.

Last month, India and the United States finalized a framework for an interim trade pact under the broader US-India Bilateral Trade Agreement.

A key component of the arrangement involves tariff reductions. Washington has lowered its reciprocal tariff rate on Indian goods from 25% to 18% and removed a 25% punitive tariff earlier imposed on India over its purchase of Russian oil.

In return, India has agreed to significantly reduce imports of Russian crude and shift towards US energy supplies, alongside a broader commitment to purchase nearly USD 500 billion worth of American energy, aircraft and high-technology products over the next five years.

The agreement is seen as a major step in deepening economic ties between the two countries while reshaping supply chains and strategic trade partnerships.