Indian Prime minister Narendra Modi and US President Donald Trump have made significant strides in easing trade tensions between their countries. As on February 14, 2025, the two leaders have agreed on several key areas, including defense, trade, and energy.
One of the major breakthrough is India’s purchase of F-35 fighter jets from the U.S. this deal is expected to strengthen India’s defense capabilities and enhance its strategic partnership with the U.S.
In the energy sector, the U.S. has agreed to become a major supplier of oil and natural gas to India. This move is likely to reduce India’s dependence on the other countries for energy and promote economic growth.
The agreement also aims to double bilateral trade between India and the US to US$ 500 billion by 2030. This ambitious target is expected to boost economic cooperation and create new opportunities for business in both countries.
Overall, the agreement between PM Modi and President Trump marks a significant milestone in India-US relation. This is paving the ways for increased economic cooperation, mutual growth, and strategic partnership.
CMI Research: Key Military Aircraft Industry Insights
As per the Coherent Market Insights, the global military aircraft industry is set to soar at 4.6% CAGR between 2024 and 2031. By 2031, revenue is poised to reach at a total of US$ 66.29 Billion from US$ 48.27 billion in 2024. Increasing geopolitical tension across various regions will drive demand in the global military aircraft industry.
Moreover, increasing defense budget allocation in various economies such as India, China, and South Korea is poised to provide an opportunity for growth. Additionally, high rate of investment cost related to the development and procurement of new aircraft will restrict industry growth.
Analyst Opinion: Strategic Role in Military Aircraft Growth
“Growing geopolitical tension between the nations with high security concern will lead to drive demand in the global military aircraft industry”, says lead CMI aerospace and defense analyst. Rising sending on dense by the major economies will also drive demand in the global industry. Additionally, increasing terrorism threat and regional conflict raise for security concerns will fuel demand in the industry.
Moreover, rising geopolitical tension and modernization of armed forced, countries such as India, China, and Japan has made sustainable procurement plan in next decades. China is taken various measure to reduce its dependence on foreign military equipment by indigenously developing platforms.
Conclusion: Business Takeaways and Pivotal Role
India and the US have made a significant progress in easing trade tensions, with PM Modi and President Trump agreeing on key areas. India will purchase F-35 fighter jets, strengthening its defense capabilities. The US will become a major oil and gas supplier to India, reducing dependence on other countries. Bilateral trade is expected to double to US$ 500 billion by 2030. The agreement provide economic cooperation, mutual growth, and strategic partnership.