Pact to increase defense commerce, technology sharing, and co-production with an emphasis on underwater systems and interoperability
Following Prime Minister Narendra Modi’s meeting with Trump, the US and India are poised to sign a ten-year defense framework this year, marking a major step forward in their Major Defense Partnership and an attempt to restructure their alliances.
To bring about significant change in several important areas of cooperation, such as defense, trade and investment, energy security, technology and innovation, multilateral cooperation, and people-to-people relationships, the US-India COMPACT (Catalyzing Opportunities for Military Partnership, Accelerated Commerce & Technology for the 21st Century) initiative was created.
This improved cooperation is centered on the defense industry. The United States intends to increase defense sales and co-production with India, emphasizing interoperability-enhancing platforms. Following the successful conclusion of sale terms, plans are in place to acquire the Stryker vehicle and the Javelin anti-tank missile in addition to six more P-8I planes.
A key component of the defense cooperation is the US’s revision of the International Traffic in Arms Regulations (ITAR) to simplify technology exchange, defense commerce, and maintenance. For US-provided defense systems, this will streamline the procurement process, guaranteeing easier access to replacement components and domestic maintenance.
This year, negotiations are also scheduled to start for a Reciprocal Defence Procurement (RDP) agreement. This agreement is anticipated to expedite collaboration in advanced defense technologies, such as undersea warfare, missile systems, air defense, and space.
To potentially strengthen strategic defense ties, the United States is reevaluating its policy regarding the transfer of advanced underwater systems and fifth-generation fighter jets, such as the F-35, to India.
Underwater technology cooperation between the US and India would be strengthened by the Autonomous Systems Industry Alliance (ASIA).
Co-production and co-development options for Underwater Domain Awareness (UDA) technologies are being made available on a commercial basis for the first time in India. Advanced technologies like Wave Glider unmanned surface vehicles, Low-Frequency Active Towed Sonar, and the Sea Picket automated surveillance system are being discussed. These programs highlight the two countries’ expanding defense industry cooperation, especially in the areas of underwater and marine technologies.
Leading US businesses’ Triton autonomous underwater systems and Large Diameter Autonomous Undersea Vehicles will also be investigated for co-production by the alliance. Indian partners like Bharat Electronics and Bharat Dynamics Ltd. will be crucial to co-development initiatives, signalling a new stage of cooperation with significant agreements expected to improve both countries’ defense capacities.
Improved logistics, intelligence sharing, and security engagements are further aspects of expanded cooperation that will guarantee both nations are ready for changing international threats.
In addition to accelerating defense and technology cooperation, this multifaceted alliance will strengthen US-Indian relations and establish both countries as major actors in determining the Indo-Pacific region’s destiny.
The “US-India COMPACT” (Catalyzing Opportunities for Military Partnership, Accelerated Commerce & Technology) initiative was introduced in order to promote changes in military, commercial, and technological collaboration.
Plans to sign a new 10-year framework for the U.S.-India Major Defense Partnership
Defense Cooperation:
- Increased defense exports from the US to India, including cutting-edge weaponry.
- India and the United States will examine arms transfer laws to expedite the defense industry.
- New projects aimed at collaborating on defensive technology and autonomous systems, including collaborative manufacturing.
- Aerospace, land, sea, space, and cyberspace will all see increased military collaboration.
Trade & Investment:
- Mission 500: To quadruple bilateral trade to $500 billion by 2030.
- Fall 2025 will see the start of discussions for a bilateral trade agreement.
- Attempts to open up markets and lower trade barriers in the pharmaceutical, industrial, and agricultural sectors.
- Thousands of jobs are being created in the United States by investments made by Indian corporations.
Energy Safety:
- The U.S.-India Energy Security Partnership has been reaffirmed.
- Cooperation on gas, oil, nuclear energy, and strategic petroleum reserves.
- Support for India becoming a full member of the International Energy Agency.
