Atul Keshap serves as the President of the United States India Business Council.
Washington, DC
Prime Minister Narendra Modi’s recent visit to the United States culminated in transformational outcomes such as the pathbreaking jet engine deal, the transfer of sensitive critical technologies and the forging of next-generation defence partnership.
Atul Keshap, who serves as the President of the United States India Business Council (USIBC), has played a key role in the ongoing transformation of India-US relations. In this exclusive interview at the USIBC office in Washington, Mr Keshap stresses that the US supports India’s aspirations, including a permanent seat at the UN Security Council, and is committed to accelerate the rise of India.
Q: Prime Minister Narendra Modi’s visit to the US was transformational and pathbreaking in many ways. How do you capture the significance of this visit by Prime Minister Modi?
A: It is hugely significant. Frankly speaking, it is about the future of the world over the next 20 years or more because what the United States and India agreed on this visit will carry forward in terms of preserving the peace and prosperity and stability and happiness of both the United States and India, and the entire world. So, we are Quad partners, we are increasingly accelerating our strategic, economic, and technological convergence. We are rapidly expanding our technology partnership under the iCET umbrella. We are building up even more of that on the INDUS-X (India-United States Defence Acceleration Ecosystem) that we have hosted. So, this is not about today, this is about the next 20 years and the future of the world and planetary happiness.
Q: Upgrading and transforming defence partnerships is one of the major outcomes of Prime Minister Modi’s visit. USIBC has hosted INDUS-X, a very innovative, pioneering move to bring together startups, Indian and US startups and defence startups. Taking a long-range view, how will INDUS-X lead to the Indian defence industry moving up the value chain?
A: Well, as the old saying goes, a clairvoyant person plants seeds today for trees under which they may not be able to sit during their lifetime. I believe INDUS-X is precisely about planting those seeds, about identifying opportunities within the startup defence ecosystem of both our countries to support winners and ensure the long-term stability and happiness of our nations. We had some exceptional companies that showcased their technologies at the US Chamber. These technologies are cutting-edge, deep-tech, and futuristic, originating from both American and Indian companies. Our objective is to witness the thriving collaboration and development of the defence ecosystem, leading to the creation of platforms that will safeguard the freedom and happiness of Americans and Indians for many years to come. Therefore, once again, this initiative is centred around planting seeds and nurturing their growth into mighty oak trees.
Q: While talking about the expansion of trade and investment, you have frequently mentioned the magic figure of $500 billion in bilateral trade. Currently, India-US bilateral trade is around $200 billion. When can we reach the magic figure of $500 billion?
A: When I speak about the goal of $500 billion, I want to emphasise the urgency of realising that target. I urge both of our governments to take necessary steps to foster the growth of trade and investment in both directions. Trade, as the old joke goes, is like dating, and investment is like marriage. The marriage between our two countries is a potent force that comes with investment flowing in both directions. I desire a framework where both governments can swiftly and eagerly develop structural agreements to enable our companies to thrive and prosper. This includes agreements such as the Digital Services Agreement, Investment Agreement, and Semiconductor and Electronics Manufacturing Agreement. These agreements will impact digital trade, fintech, and various other sectors, ensuring that companies from both the United States and India have a structure and framework to flourish and stimulate trade and investment up to the $500 billion level. With India’s rapid growth and the imminent achievement of becoming a $5 trillion economy, followed by $10 trillion and $20 trillion, it is inevitable that our trade will expand. Therefore, I assert that $500 billion is not a mythical figure; in fact, we should be aiming for $1 trillion. We should nurture a deep ambition because it is beneficial for both countries and the entire world.
Q: The transfer of sensitive critical technologies was a major outcome during PM Modi’s visit to the US. Looking ahead, what kinds of critical technologies can India expect to gain access to in the coming days?
A: Technology is clearly the strong point for both of our innovation societies, and we realise that because we trust each other and have been through this pandemic together as brothers and sisters, we now need to intensify US-India technology cooperation in all the ways that will define the world in the future. So again, this visit is not about today; it is about the next 20 years. Semiconductors, secure telecoms, artificial intelligence, quantum computing, defence—which we are working on in Indus-X here in the Chamber—and so many of these deep tech and future tech fields are really critical. It is critical that the great democracies lead in these areas. If we don’t lead, countries that don’t share our operating system and our values will ultimately lead to the subjugation of free people everywhere. So, for the US and India to intensely focus on technology is great, and I welcome it. I am delighted that the USIBC is able to play a part in advancing that. Our member companies are very excited about the iCET and Indus-X and what they mean for our collaboration. Both governments are ambitious, both governments are positive, both governments believe in one another. There is a high degree of trust and confidence, and there is a strong sense of strategic, economic, and technological convergence, along with a shared purpose.
Q: Building on PM Modi’s visit to the US, in what ways will the US accelerate the rise of India?
A: The US has officially stated its support for UN Security Council reform and has recognized India as a great democracy that could be part of the reform process. Personally, I believe that given how much India contributes to sustaining global order, having India on the UN Security Council would be a significant positive development.
The US has dedicated two decades to unlocking the immense potential of US-India relations and removing obstacles, and the nuclear deal, which I am proud to have worked on for over three years, has played a crucial role in improving US-India relations and India’s interactions with the world. Currently, we are working on various initiatives such as the delivery of jet engines and technology transfer. These efforts demonstrate the United States’ commitment to further strengthening the US-India relationship and enhancing defense collaboration for the future.
Our involvement in Indus-X exemplifies our aim to foster even deeper defence collaboration between the US and India, empowering India to become a strong and influential player alongside the United States throughout the 21st century, protecting its people, and contributing to global security. The American system, President Joe Biden, and previous administrations have made substantial investments to ensure India’s rise as a global player. During times of need, we have swiftly provided assistance and aid to India, as was evident during our pandemic crisis in 2020 when India promptly sent pharmaceutical aid to the United States. This exemplifies the actions of true friends, highlighting the strength of our bond and why our two democracies will shape the future of the world.
Manish Chand is CEO, Centre for Global Insights India, a think-tank focused on global affairs and India Writes Network. He is Editor-in-Chief, India and the World, a journal on international affairs.