Trade, Tensions, and Tact: Jaishankar’s Candid Take on US-India Diplomacy

Jaishankar outlines India-US trade progress and denies Trump’s claims of using trade talks to negotiate Indo-Pak ceasefire settlement.

In an increasingly complex geopolitical climate, External Affairs Minister S. Jaishankar’s recent remarks during an exclusive conversation with Newsweek offered a rare glimpse into the nuanced layers of diplomacy binding India and the United States. His comments straddled the intricacies of trade negotiations and the high-stakes pressure of conflict resolution, underscoring how mature and multi-dimensional the relationship between the two nations has become.

The focal point of Jaishankar’s address was the long-anticipated India-US trade agreement. He suggested that negotiators are in the advanced stages of finalising the deal, with both sides engaged in a detailed process involving “give and take.” The minister acknowledged that successful diplomacy in trade requires compromise and an understanding of mutual perceptions. “Just as people in the US have an opinion about India, Indians too have an opinion about the US,” he noted, hinting at the democratic scrutiny both sides face.

Trade, Jaishankar asserted, is not a zero-sum game but rather a field of structured bargaining, where stakeholders must meet midway. He conveyed confidence in the professional and focused conduct of the trade negotiators, dismissing any claims that political tensions or unrelated diplomatic pressures could unduly influence the economic deliberations.

This brings us to the second and more dramatic portion of his remarks: the events surrounding Operation Sindoor—India’s swift military response to the Pahalgam terror attack. Here, Jaishankar addressed former US President Donald Trump’s assertion that trade was used as leverage to de-escalate the India-Pakistan conflict. Jaishankar firmly refuted this, affirming that the trade negotiations were conducted independently of any military or strategic dialogues.

According to Jaishankar, he was present when US Vice President JD Vance called Prime Minister Narendra Modi on May 9, warning of an imminent and large-scale Pakistani offensive if India did not accept certain diplomatic conditions. Modi’s reaction, according to Jaishankar, was one of stoic resolve. “He was impervious to what the Pakistanis were threatening to do,” he said, emphasizing that India would not succumb to pressure. True to prediction, Pakistan launched a significant attack that night—prompting India’s swift military retaliation.

Jaishankar further revealed that the following morning, Secretary of State Marco Rubio contacted him to inform that Pakistan was ready for dialogue. This sequence of events—calls from senior US officials, rapid military responses, and immediate overtures for negotiation—offers a compelling portrait of behind-the-scenes diplomacy and realpolitik.

What emerges from Jaishankar’s insights is a tale of two strands: the insulated professionalism of trade diplomacy and the calculated urgency of crisis management. Despite intense political and military undertones, India’s stance appears grounded in sovereignty, strategic restraint, and a desire for long-term balance in its bilateral engagements.

Perhaps the most significant takeaway is that the India-US partnership has evolved beyond reactive diplomacy. It is now characterized by institutional maturity, cross-sectoral trust, and the ability to separate spheres of engagement—economics from security, strategy from speculation.

Jaishankar’s remarks did more than provide narrative clarity—they underscored India’s foreign policy shift towards assertive pragmatism. Whether in the negotiating rooms of Washington or the security briefings in New Delhi, India is making it clear: it will engage, but not be swayed; it will listen, but not yield.