New Delhi — Russian President Vladimir Putin held talks with Indian Prime Minister Narendra Modi on Friday at an annual
summit and agreed to diversify mutual economic ties, as the United States presses India to revise its decades-old
The 23rd Russia-India Summit comes at a pivotal moment as the U.S. pushes for a Ukraine peace deal while seeking global
cooperation. It will test New Delhi's efforts to balance relations with Moscow and Washington as the nearly four-year
war in Ukraine grinds on.
Putin was received by Modi at an airport in New Delhi on Thursday. The Indian leader gave Putin a bear hug and a tight
handshake with the gusto of an old friend.
After the talks, Putin and Modi announced that India and Russia have finalized an economic cooperation program until
2030, which will help diversify mutual businesses to boost annual trade to $100 billion by 2030. They also emphasized
Bilateral trade between the two countries stood at $68.7 billion in the last fiscal year ended March. The trade is
heavily skewed in favor of Russia with deep deficits for India, which it is looking to bridge by pushing exports.
"To achieve this significant goal, a program for the development of Russian-Indian economic cooperation until 2030 has
been agreed upon," Putin said. He said work is underway on an agreement for India to establish a free trade zone with
the Eurasian Economic Union, a Moscow-dominated economic grouping of several ex-Soviet nations, adding that it could
"Russia is a reliable supplier of energy resources and everything necessary for the development of India's energy
sector," Putin said. "We are ready to continue ensuring the uninterrupted supply of fuel for the rapidly growing Indian
Before the summit talks, the Russian leader said the two countries "have a very trusting relationship when it comes to
military-technical cooperation."
Modi, for his part, said after the talks that the two countries will work toward early conclusion of a free trade
agreement with the Eurasian Economic Union. He also announced that India will soon start issuing free electronic visas
for Russian tourists and groups visiting the country.
The Indian leader said energy security has long anchored India-Russia ties, with civil nuclear cooperation spanning
decades. He added that such cooperation will continue, alongside collaboration in clean energy, shipbuilding,
fertilizers and labor mobility.
While India has historically maintained deep ties with Russia, critics say Putin's visit could strain relations with the
European Union and the United States and might jeopardize negotiations for major trade agreements with both that are
seen as critical for India's exports.
President Trump raised tariffs on Indian goods to 50% in August, citing New Delhi's discounted Russian oil. India has
been the second biggest importer of Russian crude after China.
India's "strategic tightrope walk" between Russia and the West
The U.S. says purchases of Russian oil help finance Moscow's war machine. In October, the U.S. sanctioned two of
Moscow's biggest oil producers to force countries like India to cut down on imports. Indian officials have said New
Delhi has always abided by international sanctions and would do so in the case of Russia oil purchases as well.
The sanctions announced in October targeting Russian oil giants Lukoil and Rosneft were the first direct actions against
Russia by the U.S. Treasury since Mr. Trump took office for his second term. The Treasury said about a month later that
they were having the desired impact, with nearly a dozen major Indian and Chinese purchasers of Russian oil coming
forward to say they would pause purchases of Russian oil deliveries for December.
India and the U.S. set a target for the first tranche of a trade deal by the fall, but the deal hasn't come through yet
amid strains in relations. The Trump administration has for months tied the imposition of steep tariffs on Indian
imports directly to the country's ongoing purchases of Russian energy.
How Russia works around sanctions designed to cripple its war-time economy
India is also in the final stages of talks on a trade agreement with the EU, which sees Russia's war in Ukraine as a
Putin's India visit, "given the timing and geopolitical context, underscores New Delhi's strategic tightrope walk
between the West and the rest, chiefly Russia," said Praveen Donthi, a senior analyst with the International Crisis
Donthi said India's tilt toward Russia dates back to the Cold War and persists despite its official nonaligned position.
"The significant change now is its desire to be a strategic partner with the U.S. at the same time, which will be a
diplomatic challenge," he added.
Indian officials earlier said that Modi in the meeting with Putin would push for faster delivery of two further Russian
S-400 surface-to-air missile systems. It has already received three under a 2018 deal worth about $5.4 billion. The
delay has been tied to supply chain disruptions linked to the war in Ukraine.
The two sides signed a pact in February to improve military cooperation, exercises, port calls, disaster relief
assistance and logistics support. Moscow's State Duma ratified the same ahead of Putin's India visit.
India is also expecting to upgrade its Russian-made Su-30MKI fighter jets and accelerate deliveries of critical military
India is keen to increase exports of pharmaceuticals, agriculture and textiles to Russia and is seeking the removal of
non-tariff barriers. New Delhi is also seeking long-term supplies of fertilizers from Moscow.
Another key area where the two countries hope to finalize an agreement is the safety and regulation of migration of
Indian skilled workers to Russia.
Putin last visited India in 2021. Modi was in Moscow last year, and the two leaders briefly met in September in China
during a Shanghai Cooperation Organization summit.