Professor Jeffrey Sachs on US-India Relations, Trade, Geopolitics, and Economic Strategy

Background: Talks about trade between the US and India and political instability in the US

• Professor Jeffrey Sachs is a well-known economist at Columbia University. He talks about how bad US-India relations are right now. Relations have especially worsened since Trump took office.
• Sachs thinks Trump’s decision to restart trade discussions with India is unreliable. It is also unpredictable. This is a sign of how fragile US politics and policy are in general.
• Sachs says that the US is a “unstable and untrustworthy country.” He points out that the Trump administration often makes comments that don’t make sense. These comments are based on short-term improvisation instead of a long-term plan.
• He points out the US’s recent insults and acts that don’t make sense. These include tariffs and unexpected shifts in tone. These actions show that the US doesn’t really care about India’s development in the long term.
• The US wants to use India as a weapon against Russia and China, but it doesn’t care for India’s health.
• When it comes to trade, the US is called “protectionist.” This means it is unlikely to let India take China’s place in global supply chains. This is the case even though the US says it will.
• People say that Trump’s tariffs are “illegitimate and unconstitutional.” Courts are contesting them. The Supreme Court has not yet made a final decision.
• Sachs advises India to be “measured and cautious.” He warns not to be seduced by “flattery” or sudden warm gestures from the US. These gestures are just part of political gamesmanship and not real collaboration.
• He doesn’t believe Trump’s statements that India is ready to drop tariffs to zero. He points out that Modi has publicly said he wants to preserve sensitive areas like farming, dairy, and small enterprises.

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The Quad and the US-India Strategic Relationship- Jeffrey Sachs

• Sachs says that there is no such thing as a “long-term strategic US-India relationship.” Instead, he calls it a “transactional and unstable engagement.” It is based on the US ruling class’s wish to keep its global power.
• He says that certain people in the US military and intelligence community want to utilize India against China. However, this is not a solid relationship.
• Sachs is quite critical of the Quad (Quadrilateral Security Dialogue – US, India, Japan, Australia):
• He says that India should not take part in a forum that is clearly meant to fight China.
• People see of the Quad as a “naive tool of US hegemonic ambition.”
• India should not support the idea of a global hegemon. Instead, it should support a “multipolar world order” in which several powers live together peacefully.
• People say the US is “trash-talking” other big countries like India, China, Russia, and Brazil. India should reject this since it comes from colonial and hegemonic ideas.
• Sachs underlines the necessity for respectful conversation among great powers without harsh rhetoric or childish behavior.

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India-China Relations and Security in the Region-Jeffrey Sachs

• Sachs stresses the importance of resolving India-China boundary conflicts bilaterally. He points out that these problems are based on colonial-era artificial boundaries. These include the McMahon Line, which was drawn in 1914 without adequate consultation.
• He says that India and China should work together to make things stable. They should not rely on the US. Both India and China are “great civilizations and powers.”
• He asks China to support India’s permanent membership in the UN Security Council. He says that this is important for world peace.
• The US is reportedly unable to safeguard India from Pakistan or China. This is based on the long-standing military cooperation between the US and Pakistan.
• The US shouldn’t utilize India as a “pawn” in its geopolitical games.
• Sachs points out that India and China both want to create a law-based, multipolar global order. The US does not support this.
• He adds that working together is not only the greatest option. It is also the only one that will bring about permanent peace. This approach will ensure stability in the area.

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The Argument for Democracy and Shared Values-Jeffrey Sachs

• Sachs questions the idea that India and the US have a “natural affinity based on shared democratic values.”
• He says that the US does not have a working democracy right now. Tariffs are being imposed without going through Congress. The constitutional order is breaking down.
• People say that Trump’s government in the US is based on “rule by emergency decrees and corruption.” There is little regard for rules on conflicts of interest.
• The concept of a democratic connection is hence exaggerated and unfounded in the present context.

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Political Corruption and US-Pakistan Relations-Jeffrey Sachs

• Sachs talks about the “close relationship” between the US and Pakistan’s military. This relationship has been ongoing for a long time. It predates the administrations of Trump and Biden.
• He talks about reliable reports. The US helped the military take down Pakistan’s former Prime Minister Imran Khan. It also supported the military government.
• He says that the US-Pakistan alliance is based on a “security-state relationship that works against Indian interests.”
• People say that US foreign policy is influenced by unrestrained corruption. Financial interests play a large role, especially regarding Trump’s family’s ties to Pakistan.
• The US is seen to be playing immature and risky political games that don’t help India’s safety.

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Changes in the Global Currency and BRICS Economies-Jeffrey Sachs

Goldman Sachs thinks that the US dollar will lose its dominance during the next ten years.

• The Renminbi (Chinese yuan) and the Indian Rupee are likely to become important currencies around the world.
• The US’s “weaponization of the dollar” through sanctions and control over the SWIFT banking system can’t last.
• BRICS countries are actively looking for alternative payment and settlement systems. They seek this to avoid relying on US financial power.
• India has been less open to these alternatives than the other BRICS countries, which Sachs thinks is a mistake.
• Moving to various currency settlements is low cost and possible. It needs to be done to make the US less likely to use force.

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India’s Economic Strategy: Growth, Education, and Diversification-Jeffrey Sachs

Goldman Sachs cites three crucial issues for India’s economic future:

1. If good economic policies stay in place, sustained rapid growth is projected.
2. The most important thing is ensuring all children get a good education. This applies to children in both cities and rural areas. India has a lot of talented people who can help with this.
3. Don’t just rely on the US market; find other trade partners as well.
   • China is not an economic danger; commerce between India and China can be good for both countries.
   • Increase commerce with ASEAN countries, Latin America, and Africa, which are all markets that are rising quickly.
   • The US market is small (around 10–12% of world trade) and getting smaller, so focusing on it is looking back.

• Sachs says that India should join the Regional Comprehensive Economic Partnership (RCEP):
• China, Japan, Korea, ASEAN countries, Australia, and New Zealand are all part of RCEP.
• India’s membership would give them access to big markets and technologies, which would make the economy more diverse and dynamic.
• He knows that joining RCEP would cause a lot of debate in India because of politics. However, he thinks it would be good for the economy.

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Definitions and a Table Comparing US-India and India-China Relations-Jeffrey Sachs

Aspect	US-India Relations	India-China Relations
Strategic Nature	Transactional, unstable, short-term	Stable, bilateral, long-term
Political Stability	Highly unstable US political environment	Stable governments with historical conflicts
Security Assurance	No guaranteed protection; US-Pakistan ties	Mutual interest in peaceful resolution
Economic Partnership	Limited by US protectionism	Growing trade, mutual economic benefits
Shared Values	Questionable due to US democratic deficits	Different political systems but common global goals
Major Concerns	US uses India as lever against China/Russia	Border disputes due to colonial legacy
Recommended Indian Approach	Cautious, measured, independent	Cooperative, focus on resolving disputes

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FAQ-Jeffrey Sachs

Q1: Does Professor Sachs think that India can trust the US? A No, he stresses that the US is unstable and protectionist. It exploits India as a geopolitical tool. The US does this without really committing to it in the long term.

Q2: What does Sachs think of the Quad? A He doesn’t like the Quad. It is a US-led effort to stop China. He thinks India should stay out of it.

Q3: What should India do about trade with the US and China? A India should expand its trade with other countries. It should deepen its ties with countries in Asia, Latin America, and Africa. India should not see China as an economic enemy.

Q4: What does Sachs say is the most important thing for India’s long-term growth? A: Making sure that all of India has access to good education to help its many talented people grow.

Q5: Is there a change in which currency is most powerful around the world? A Yes, Sachs thinks that the US dollar would lose value. The Renminbi and Indian Rupee will become more important international currencies.

Q6: Should India be a part of RCEP? A Sachs says that there is political disagreement. However, adopting RCEP is a good idea. It gives you access to big markets and technologies.

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This summary provides an in-depth view of Professor Jeffrey Sachs’s thoughts on US-India relations. It also covers geopolitical strategy and economic policy. It is based only on the source material and is structured, detailed, and factual.

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