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INDIAN DEFENCE
Administration’s announcement in 2011 to withdraw US troops from Afghanistan had caused worries in New Delhi. While the inability of the US firms to get the contract to sell medium multi-role combat aircraft to India had disappointed Washington, New Delhi was under pressure to reduce its energy imports from Iran due to severe US sanctions. Same can be said about India as well. Indian Government’s inability to institute further economic reforms, lack of consensus over big economic items, such as opening the retail market to foreign companies, and domestic political polarisation on several issues in the midst of downturn in economic performance hardly provided the base for further boost of ties with the United States. Although bilateral trade and investment continued to rise in absolute numbers and Indian investment in the United States too witnessed a rising trend, slow US economic recovery and slower Indian economic reforms kept economic ties between the two countries lacklustre. The visa policy of the Obama Administration that adversely affected the Indian information technology (IT) companies and professionals, Obama’s oft repeated remarks blaming India and China for rising food and commodity prices in the international market, and his warning to the American people that they would have to perform better than Asians, including Indians, in educational institutions coloured Indo-US strategic partnership in less than positive lights.
BUSINESS
Mahapatra
ASIAN WHO’S WHO
Abbreviations & Index at the end of the book
I
ndo-US strategic partnership Chintamani in last one year did not move forward nor did it move backward or stood standstill. External challenges and domestic preoccupations, notwithstanding, efforts were made by New Delhi and Washington, D.C., to address difficulties and hurdles to prevent the short-term issues from derailing the long-term partnership. When Barack Obama assumed the office of President in 2009, there were doubts over the continuity of robust strategic partnership with India pursued by his predecessor George W. Bush. But doubts were dispelled and the partnership was taken to a new level by President Obama during his first term in office. Despite the economic recession, Indo-US trade registered a positive growth. So was the case with American investment in India. What was novel was good growth in Indian investment in the United States. President Obama described Indo-US relationship as an “indispensable partnership” of the 21st century and promised to support India’s membership in the UN Security Council, Nuclear Suppliers’ Group, Australia Group, Wassenar Arrangement and the Missile Technology Control Regime. His predecessor’s National Security Advisor Condoleezza Rice announced American support to India’s rise a global player and Obama’s Secretary of Defense Leon Panetta declared that India would be a “linchpin” in the Administration’s new strategy on the Indo-Pacific region. However, by the time Barack Obama began his second term, analysts had begun to describe Indo-US relations as the one that has reached a plateau and stuck out there. There was no forward movement, as President Obama was overly preoccupied with domestic political fights and with firefighting abroad, particularly in the Middle East. The implementation of the civil nuclear cooperation agreement continued to be delayed. The Obama
WEAPONS EQUIPMENT VEHICLES
CONTENTS
A wide convergence of strategic interests between the two countries has cemented the strategic partnership making it almost irreversible. Short-run obstacles in the relationship hit the headlines and create an image of standstill in the relationship. But in matters of trade, investment, technology transfer, arms sale/purchase and broader understanding on critical security issues, Indo-US relationship has shown signs of maturity.
CONCEPTS & PERSPECTIVES
Measured Improvements & Bright Prospects
Restoring the Momentum Months after Obama began his second term in office, a spate of visits were planned to revive the momentum in the bilateral relations and ward off any impression of “strategic partnership” being put in the cold-storage. US Secretary of State John Kerry’s visit to India was followed by Vice President Joe Biden’s and then Prime Minister
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REGIONAL BALANCE
PIB
India’s Strategic Partnership with the United States
TECHNOLOGY
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