← Resources · July 28, 2026
International Relations GS2GS3 4 min read

US, India expanding cooperation in defence, civil nuclear sector, says senior US official

What happened
01

A senior US official stated that defence and civil nuclear cooperation between India and the United States is expanding, alongside the adoption of trusted AI and other emerging technologies

02

The remarks were made at a roundtable on India-US relations, noting that bilateral engagement is creating jobs and strengthening supply chains critical to both countries

03

India has been acquiring US-origin defence equipment over an extended period as part of deepening defence trade

04

American nuclear power companies are exploring expanded participation in India's civil nuclear sector, with an industry delegation having visited India earlier in the year to explore collaboration opportunities

Static topic 1 of 3 · International Relations

Framework for the US-India Major Defence Partnership (2025)

The Framework for the US-India Major Defence Partnership is a renewable ten-year umbrella document that guides the defence relationship between the two countries; the current iteration was signed on October 31, 2025, between India's Defence Minister and the US Secretary of Defense on the sidelines of the ASEAN Defence Ministers' Meeting-Plus in Kuala Lumpur. It builds on the original 2005 framework (renewed in 2015) and is described as the most wide-ranging version to date.

Key Details

  • Renewed on a ten-year cycle; earlier versions signed in 2005 and 2015
  • Priorities include interoperability across land, sea, air, space and cyberspace domains, maritime security, defence-industrial cooperation, counter-terrorism, and coordination through the Quad
  • Sits under the broader India-US COMPACT (Catalysing Opportunities for Military Partnership, Accelerated Commerce and Technology) for the 21st Century, launched in February 2025, which also carries the "Mission 500" goal of raising bilateral trade to $500 billion
  • Complements the earlier Initiative on Critical and Emerging Technology (iCET), launched in 2023, which covers co-development in AI, semiconductors, space and defence technology
Connection to this news

The official's reference to "expanding defence cooperation" and adoption of "trusted AI and emerging technologies" reflects the 2025 Framework and the COMPACT/iCET architecture that now structures US-India defence-technology engagement.

Static topic 2 of 3 · International Relations

Civil Nuclear Liability Law Reform — SHANTI Act

India's civil nuclear sector has historically been constrained by strict supplier liability provisions in the Civil Liability for Nuclear Damage Act (CLNDA), 2010, particularly Section 17(b) (right of recourse against suppliers) and Section 46 (allowing tort claims beyond the Act's caps). These provisions deterred foreign reactor vendors, including US firms, from entering the Indian market despite the 2008 India-US civil nuclear agreement (based on the 123 Agreement framework under the US Atomic Energy Act).

Key Details

  • In December 2025, Parliament enacted the Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Act, repealing and replacing the Atomic Energy Act, 1962 and the CLNDA, 2010
  • The reform removes the contentious Section 17(b) supplier-liability clause and aligns India's framework more closely with the 1997 Convention on Supplementary Compensation for Nuclear Damage (CSC), which caps and channels liability primarily to the operator
  • The India-US civil nuclear cooperation agreement (123 Agreement) was concluded in 2008 following a India-specific waiver by the Nuclear Suppliers Group
  • The reform is intended to enable American and French reactor vendors to set up nuclear plants in India, including in partnership with the private sector
Connection to this news

The nuclear-industry delegation visits referenced in the official's remarks follow directly from the 2025 liability-law overhaul, which removed the principal legal barrier that had stalled US civil nuclear investment in India since the 2008 agreement.

Static topic 3 of 3 · International Relations

Defence Trade and Procurement Categories

India's acquisition of US-origin defence equipment since the early 2000s has proceeded largely through Foreign Military Sales (FMS) and Direct Commercial Sales (DCS) channels, alongside India's own indigenous procurement categories under the Defence Acquisition Procedure (DAP).

Key Details

  • India's DAP classifies procurement as Buy (Indian), Buy and Make (Indian), Buy and Make, and Buy (Global) — with FMS/DCS from the US typically falling under Buy (Global) or government-to-government routes
  • Key platforms acquired from the US include the P-8I maritime patrol aircraft, C-130J and C-17 transport aircraft, Apache and Chinook helicopters, and M777 howitzers
  • The Defence Acquisition Council (DAC), chaired by the Raksha Mantri, approves major capital acquisitions before referral to the Cabinet Committee on Security (CCS) for high-value deals
Connection to this news

The official's reference to India having "acquired numerous US defense equipment since 2002" reflects the steady expansion of FMS-route acquisitions that began after the 2005 defence framework normalized bilateral defence trade.

Key facts & data
  • Framework for the US-India Major Defence Partnership renewed for a ten-year term on October 31, 2025
  • India-US COMPACT (Catalysing Opportunities for Military Partnership, Accelerated Commerce and Technology) launched February 13, 2025
  • SHANTI Act enacted December 2025, replacing the Atomic Energy Act, 1962 and CLNDA, 2010
  • India-US civil nuclear cooperation agreement (123 Agreement) concluded in 2008
  • CSC (Convention on Supplementary Compensation for Nuclear Damage) dates to 1997
  • iCET (Initiative on Critical and Emerging Technology) launched 2023
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