‘Very, very close’: Marco Rubio on India-US trade deal after meeting with EAM Jaishankar

The US and India are “very, very close” to finalising a bilateral trade deal, with only “a small number of items left to wrap up”, US secretary of state Marco Rubio said on Tuesday, as he used a meeting with external affairs minister S Jaishankar to urge New Delhi to increase energy trade and step up purchases of American technologies and systems.

“I would say we’re about as close as you can be without having an executed agreement. I think there’s a small number of items left to wrap up. So I think that will happen shortly –– we’re hoping, which it should –– and hopefully have some good news to announce fairly soon. And perhaps the leaders can sign it thereafter,” Rubio told the media.

At a reception later in the evening, Rubio hailed the partnership between India and the US as one that would shape the century. “I truly believe the relationship between the United States and India is defining in many ways, in a positive way, what the 21st century can look like,” he said.

After the meeting with Rubio, Jaishankar said on social media that they discussed ways to further advance “our ties, focusing on trade, energy, technology, defence and people-to-people ties”, and exchanged views on regional developments. Rubio said in a separate social media post that they “discussed energy security and defence cooperation while reaffirming the importance of advancing the US-India strategic partnership”.

Also read: Rubio hails New Delhi as 'powerful, influential', says India-US ties will help shape 21st century

Rubio commended progress in bilateral defence and civil nuclear cooperation, and “advocated for the increased purchase of US technologies and systems, which can enhance the security and prosperity of both our countries”.

There was no immediate response from Indian officials on Rubio’s comments.

This was largely in line with the push from Washington during President Donald Trump’s second term for New Delhi to buy more energy, technology and military gear from the US. While India has diversified its energy sources in recent months, Russia remains the single largest source, accounting for 44% of crude purchases in August, while the US was in third place with 5.1%.

During a media interaction, Rubio described India as an important commercial and business partner of the US, a key member of the Quad and a strong strategic partner, and noted there is a “lot of defence cooperation” between the two sides.

Also read: Rubio urges India to boost US energy, defence purchases in talks with Jaishankar

“Of course there will be times and points of disagreement, but on the core issues that matter, the core issues that define the national interest of both India and the United States, the alignment between our countries is extraordinary, especially for two countries of this size,” he said.

Rubio, who said he does not visit India as often as he should, described the region as one that will define how the history of the 21st century is written. “I truly believe the relationship between the United States and India is defining in many ways, in a positive way, what the 21st century can look like,” he said.

Also read: Marco Rubio India visit highlights: Rubio emphasizes India-US partnership on ‘superintelligence’ at Mumbai event

Reliance is currently engaged in efforts to set up a large refinery in Texas, the first such facility to come up in the US in five decades, and is also a key purchaser of Venezuelan crude.

Rubio told the media that the situation in the Strait of Hormuz, Houthi attacks on energy pipelines in Saudi Arabia and attacks on refining facilities as part of the Russia-Ukraine conflict have impacted energy supplies, causing several countries to grapple with a diesel shortage. Days before Rubio’s arrival in India, President Donald Trump waived sweeping new sanctions and tariffs under the Lindsey O Graham Sanctioning Russia and Iran Act, a week after announcing a deal with Russian President Vladimir Putin to release roughly 5 million tonnes of Russian diesel onto the world market.

Rubio noted that Indian companies can play a role in refining Venezuelan heavy crude as more of it enters the world market, an issue he planned to discuss during the visit to the Reliance refinery.

“They have the capability to refine heavy crude, they have done so in the past. And I think as more and more Venezuelan oil comes online, it’s something they can do,” he said. “Refining capability is a key part of it and India is a refining superpower. They have the ability to do that and they have companies that know how to do that.”

He also noted that Indian companies have pre-existing oil concessions in Venezuela and can play a role in energy production. “With India, we’ve talked about it in the past…They’re ready to do it, they’re willing to do it. There might be a few impediments that stand in the way in terms of [pre-existing] sanctions,” he said.

Asked about the reasons for his visit to the Reliance facility, Rubio replied: “Energy is related to national security. Countries fight wars over energy, economies collapse over lack of energy. We’re going to go see a company that has a tremendous amount of refining capability. It makes all the sense in the world to talk to them about it.”

Rubio responded to another question about US satisfaction with India’s steps to reduce dependence on Russian energy by noting that New Delhi has repeatedly expressed its desire to diversify its energy portfolio and that the US can be an energy source. “Obviously, it’s not easy to do that from one day to the next. I think they’ve made substantial progress in that regard, and we’re happy to see that,” he said.

“But in the end, it’s not just about Russian oil, it’s about their desire to diversify, and obviously we think we can be a source of some of their energy inputs. Obviously, we’ve discussed Venezuela and other countries, and I think it’s in our interest to have a strong ally with a diverse energy portfolio,” Rubio said.

Also read: 'Very close, some items left': Marco Rubio optimistic about India-US trade deal

Rubio and Jaishankar also laid a wreath at the 26/11 memorial at the Taj Mahal Palace hotel. “We must continue our strong partnership in combating terrorism in all its forms and manifestations,” Jaishankar said in a social media post.

“At the Taj Mahal Palace Hotel, I laid a wreath honoring the victims of the horrific November 26, 2008 terrorist attacks, including six American citizens,” Rubio said. “We remember those lost, honour the courage of those who responded, and reaffirm the enduring US-India partnership and our shared commitment to combating terrorism.”