“Modinomics is appeasement of US, capitulation to China”: Jairam Ramesh slams Centre over shift in India’s trade balance

New Delhi : As India and the United States enter the final stages of the trade agreement talks, senior Congress leader Jairam Ramesh on Wednesday slammed the Centre for a fall trade surplus with the US and a rise in trade deficit with China. Sharing an X post, Jairam Ramesh termed economics under Prime Minister Narendra Modi as a tool to “appease the US and capitulate to China.” “India’s goods trade surplus with the USA in 2025-26 was USD 34.4 billion as compared to USD 40.1 billion in 2024-25. India’s goods trade deficit with China in 2025-26 was USD 112.2 billion as compared to USD 99.2 billion in 2024-25. Modinomics = Appeasement of USA + Capitulation to China,” the Congress MP wrote.
Congress has been critical of the trade deal with the US, following the signing of an interim framework in February 2026. Ramesh’s remarks come amid the ongoing negotiations to finalise the trade deal. Earlier, US Deputy Assistant Secretary in the Bureau of South and Central Asian Affairs Bethany Poulos Morrison said that Washington is “very, very close” to concluding the historic trade agreement with India.
Speaking at an event, Morrison said, “Looking at trade, in February 2026, we announced the intention to finally conclude the historic trade deal. We are very, very close.” She added that the proposed agreement would open India’s market of 1.4 billion people to American goods on “reciprocal and mutually beneficial” terms. “This is going to open India’s market of 1.4 billion to America’s goods on terms that are reciprocal and mutually beneficial. The administration is driving towards the goal of Mission 500, 500 billion in trade by 2030, with a real sense of urgency,” she said, referring to the broader trade target between the two countries.
On Tuesday, US Trade Representative Jamieson Greer and Union Minister of Commerce and Industry Piyush Goyal met in New Delhi to advance negotiations on the Interim Agreement, originally launched by President Trump and Prime Minister Modi.