A first since tariffs: India, US finalise $93-mn arms deal

Amid tensions over trade tariffs, India and the US have finalised a $93-million military deal, their first since August when relations between the two sides soured over New Delhi’s purchase of Russian crude oil.

Through the agreement, India will replenish its stock of specialised artillery projectiles called Excalibur, which were used during Operation Sindoor to target terrorist camps in Pakistan. India will be procuring 216 of these at a cost of $47.1 million and about 100 Javelin Missile Systems for around $45.7 million.

Excalibur projectiles are fired from M-777 ultralight howitzer guns, 145 of which India sourced from the US almost a decade ago. Excalibur has precision-firing ability to home onto a target and some of the terror camps in Pakistan were demolished using these on May 7.

The US has imposed 50 per cent tariffs on Indian imports, which include 25 per cent punitive penalty for buying crude oil from Russia.

The US Defence Security Cooperation Agency (DSCA) delivered the required certification notifying the Congress about the two military deals on Wednesday. The agency also approved a deal for the purchase of portable electronic fire control systems. Besides, the US will provide technical assistance, technical data, repair and other related elements of logistics and programme support.

“The proposed sale will improve the security of a major defence partner, which continues to be an important force for political stability, peace and economic progress in the Indo-Pacific and South Asia regions,” the DSCA said.

Defence experts said the twin deals would help India improve its capability to counter current and future threats through precision-capability equipment.

India has sought to purchase a 100 Javelin rounds and 25 Javelin Lightweight Command Launch Units. The deal includes missile simulation rounds, battery coolant unit, interactive electronic technical manual, lifecycle support, physical security inspection, spare parts, system integration and check out and other related elements of logistics and programme support.