Why are US-India relations important for many years to come?
This article was published in the NewYork Times on the eve of the Obama's state dinner with the Indian Prime Minister- Manmohan Singh. The article talks about the importance of US's relations with India especially in comparison to the US-China relations.
The US-China trading relationship is gigantic but very one-sided. America's imports from China are 4.5 times its exports to China. On the other hand, America's trade with India is small but growing. However it is more balanced than not when compared to that of China. Indian exports to USA are only 25 percent larger than U.S exports to India. Moreover, India is more open to FDI than it was before which is a postive sign for the near future.
What America's partnership with India does is to balance out the politics and trade in the Asian region. India is indeed the largest democracy in the world. However, America cannot afford to ruin its relations with China. The only way to tackle its one-sided trade affair with China is to look for alternatives, and India provides a perfect one.
1 comment:
I agree with the author of this article. I think India is very important and can be a great alternative to China. India's labor is very cheap, and it can be a great place for investment.
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