US Defence Ties — India Needs To Keep Its Eyes Open

US Defence Ties — India Needs To Keep Its Eyes Open

India’s deepening defence relationship with the United States is a double-edged sword. While it has undeniably spurred technological advancement and operational coordination, it risks compromising India’s cherished strategic autonomy and indigenous military capabilities. The façade of partnership demands closer scrutiny; this is not mere alignment but a shift with profound policy ramifications.

Institutional Framework and Recent Developments

The defence ties between India and the US have evolved from Cold War-era estrangement to modern partnership. The Logistics Exchange Memorandum of Agreement (LEMOA, 2016), Communications Compatibility and Security Agreement (COMCASA, 2018), and Basic Exchange and Cooperation Agreement (BECA, 2020) underpin operational interoperability. Furthermore, India’s designation as a Major Defense Partner in 2016 ostensibly places it at par with NATO allies in terms of defence trade.

India has procured hardware worth over $21 billion from the US since 2008, including C-130J transport aircraft, Predator MQ-9B drones, and MH-60R Seahawk helicopters. Joint exercises like Malabar (naval), Yudh Abhyas (army), and Cope India (air force) highlight enhanced military interoperability. But the question remains: is India’s defence apparatus being reshaped to meet US interests instead of Indian strategic needs?

The Promise of Partnership: Argument with Evidence

The Ministry of Defence and Pentagon rhetoric centres on shared goals in the Indo-Pacific region, particularly countering China’s maritime assertiveness. But cooperative defence initiatives like the Defense Technology and Trade Initiative (DTTI) have not translated into robust indigenous manufacturing. Despite agreements on jet engine co-production and UAV development, India depends heavily on American systems for surveillance and reconnaissance.

Consider the Predator MQ-9B deal: a $3 billion investment, hailed as evidence of technological transfer. Yet, the transfer is largely operational, with limited ease in deploying such drones under autonomous Indian control. CAATSA sanctions remain a looming threat over India’s S-400 missile systems acquisition from Russia, exposing India’s vulnerability to US geopolitical compulsions.

Strategic autonomy is under duress. The NSSO report (2023) reveals that domestic defence production remains stagnant at 33% of procurement, despite government claims under Aatmanirbhar Bharat. Initiatives like iCET are politically promising but empirically thin in boosting India’s indigenous capacities.

Counter-Argument: Does Dependency Enable Capability?

A strong argument for closer US defence ties posits that dependency is temporary and transformative. Advocates suggest that short-term reliance on American security systems positions India as a future net exporter of defence innovations. The US-India 123 Civil Nuclear Deal (2008) is often cited as a precedent for trust-building and technology sharing.

This view argues that aligning with the US bolsters India’s geopolitical leverage in multilateral platforms like the QUAD. What the critics miss, proponents say, is that India’s global strategic footprint demands synergy with the world's leading military power.

The Structural Tensions in Partnership

This narrative ignores how history repeats itself. Post-9/11 intelligence cooperation enhanced India-US ties, yet failed to prevent US sanctions over Pokhran-II. The 2025 DTTI Review Committee noted bureaucratic hurdles and inconsistent American export control policies limiting real technology transfer. India's experience with heightened dependence remains a cautionary tale, not a roadmap.

India’s domestic arms industry, meanwhile, struggles with resource allocation. Notably, Parliamentary Standing Committee Report No. 37 (2024) flagged gaps in defence R&D funding, which receives barely 6% of India’s total defence budget, compared to over 20% in the US. Are US ties creating an ecosystem where Indian firms struggle to compete while importing cheaper advanced systems?

International Lessons: Germany’s Defence Industrial Model

Germany offers India an instructive comparison. Hosting cooperative defence projects with global companies like Airbus and Rheinmetall, Germany retains procurement independence while championing domestic manufacturing. Unlike India’s wholesale P-8I purchases, Germany fosters limited foreign reliance and couples collaborative ventures with strict domestic production thresholds under its Bundeswehr procurement law.

What India calls strategic autonomy must reflect the German concept of "technological sovereignty" — the ability to innovate, not imitate, foreign partners.

Assessment: Navigating Sovereign Complexity

The US-India defence partnership can neither be blindly embraced nor categorically dismissed. India must recalibrate its defence strategy to prioritize indigenous capabilities even amidst American collaboration. Policy reforms must tighten production benchmarks under procurement arrangements like the Defence Acquisition Procedure (DAP, 2020).

Strategic diversification is paramount: India needs active defence engagement with France (Rafale jets), Israel (missile systems), and Russia (Sukhoi jets). Irrespective of QUAD dynamics, India must renegotiate foundational pacts to clarify operational control in joint systems.

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