Wednesday, January 20, 2010

India and US: then and now

Former president Bush used his limited political capital to push through the historic nuclear deal with India. Although India is far behind China in economic and military terms today, Bush pushed for a special relationship with India as a long-term democratic partner that could counter China in Asia.

Since Obama took over, the mood in Washington has changed palpably. During his recent visit to China, Obama praised Beijing and downplayed old criticisms of China’s human rights violations and currency manipulation. This fuelled US media speculation about a new G-2 consisting of just the US and China, and reversed the Bush attempt to promote India at China’s expense.

Notwithstanding the nuclear deal, Obama has severely restricted US export licensing for dual-use technology to India.

He does not wish to sell India equipment for nuclear enrichment or reprocessing. An agreement on spent fuel was expected to be signed when Manmohan Singh visited Washington, but could not be finalised.

--Courtesy :Swaminathan S Anklesaria Aiyar, ET Bureau

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