In a significant development that highlights ongoing tensions in India-US relations, Republican Senator Ted Cruz has reportedly accused key figures in the Trump administration of actively resisting a trade deal with India. According to a report by US media outlet Axios, Cruz made these claims in private meetings with donors, revealing internal battles within the White House over trade policy toward New Delhi.
Internal Resistance to India Trade Agreement
The Axios report, based on audio recordings from early and mid-2025, reveals that Cruz specifically named White House economic adviser Peter Navarro, Vice-President JD Vance, and "sometimes" President Donald Trump himself as obstacles to finalizing a trade agreement with India. These private conversations, reportedly provided by a Republican source, offer a rare glimpse into the internal dynamics shaping US foreign trade policy.
Cruz, a Texas Republican who is reportedly eyeing a 2028 White House run, described "battling" the administration to accept the trade deal with India. The senator warned that Trump's tariff policies could potentially decimate the economy and even lead to impeachment proceedings, indicating deep concerns within Republican circles about the administration's economic approach.
Strained Bilateral Relations
The revelation comes against a backdrop of strained India-US relations over the past several months. The Trump-led administration imposed significant tariffs, including a 25 percent levy on purchases of Russian oil, contributing to a 50 percent overall tariff increase that has created substantial trade friction between the two nations.
Despite these tensions, diplomatic exchanges continue. President Trump extended warm Republic Day greetings to India, emphasizing the "historic bond" between the world's oldest and largest democracies. In a message disseminated through the US Embassy in New Delhi's social media channels, Trump stated: "On behalf of the people of the United States, I extend my heartfelt congratulations to the government and people of India as you celebrate your 77th Republic Day."
Conflicting Narratives and Diplomatic Efforts
The trade dispute has generated conflicting narratives from various US officials. Earlier this month, US Commerce Secretary Howard Lutnick claimed the trade deal with India failed to materialize because Prime Minister Narendra Modi did not call President Trump. This assertion contrasts with Cruz's allegations of internal resistance within the administration.
Meanwhile, diplomatic efforts to repair relations appear to be underway. Since US Ambassador to India Sergio Gor's arrival in India earlier this month, multiple channels of communication have opened. Trade negotiators have resumed discussions, and India has received an invitation to join Pax Silica—a strategic US initiative focused on critical minerals.
Congressional Engagement and Bipartisan Support
A three-member bipartisan US Congressional delegation recently met with External Affairs Minister S Jaishankar, signaling continued legislative interest in strengthening India-US ties. Additionally, US Secretary of State Marco Rubio extended Republic Day greetings, emphasizing the multifaceted cooperation between the two nations.
"From our close cooperation on defense, energy, critical minerals, and emerging technologies to our multi-layered engagement through the Quad, the US-India relationship delivers real results for our two countries and for the Indo-Pacific region," Rubio stated. He expressed optimism about "working together to advance our shared objectives in the year ahead."
Broader Context of India-US Relations
The trade tensions exist alongside other diplomatic complexities. President Trump has repeatedly claimed credit for brokering the ceasefire between India and Pakistan during Operation Sindoor in May of last year—a claim consistently denied by Indian officials. These competing narratives add layers to the already complex bilateral relationship.
As Ambassador Sergio Gor attended Republic Day celebrations in India, the contrasting messages—warm diplomatic greetings alongside internal resistance to trade agreements—highlight the nuanced state of India-US relations. The coming months will reveal whether diplomatic efforts can overcome the internal divisions within the Trump administration that Senator Cruz has brought to light.
