Mumbai: Blackstone CEO and Chairman Stephen Schwarzman has expressed optimism about India’s trade relations with the United States, emphasizing that the recent meeting between Prime Minister Narendra Modi and former US President Donald Trump laid a strong foundation for a trade agreement. Schwarzman, who leads the world’s largest asset management firm, believes that India is well-positioned to capitalize on global economic shifts, particularly as China faces challenges.
India’s Trade Negotiations Get a Strong Start
Speaking with Network18’s Group Consulting Editor Bodhisatva Ganguli in Mumbai, Schwarzman remarked on the positive nature of the high-profile meeting, stating, “Prime Minister Modi and the President had a very good meeting, which is a great start. They agreed to have a trade agreement between the two countries. And they also made some other mutual understandings, evidently, at that meeting. I think the baseline for India seems to me to be very good.”
His comments come at a time when trade discussions between India and the US have gained momentum, with both countries exploring ways to strengthen economic cooperation. Schwarzman emphasized that the trade talks should be seen as a long-term opportunity rather than just a short-term diplomatic engagement.
India and the US: Strong Bilateral Synergies
Reflecting on the evolving trade dynamics, Schwarzman noted that India and the US share common interests and mutual goodwill, which will likely facilitate negotiations. “There’s a favorable attitude, each country to the other one. And I think you just sort of start with the discussion. Evidently, there’s already been a number of adjustments that the two countries have made. I know there’s always a high level of anxiety when anybody brings this subject up. I think the quality of your leadership in India and the ability to reach agreements should be very good,” he stated.
As one of the largest investors in India, Blackstone is keenly watching the policy shifts and trade deals that could impact foreign investment. Schwarzman highlighted that structural and regulatory improvements would play a crucial role in attracting more global corporations to India.
Blackstone Plans Major Expansion in India
Schwarzman also revealed Blackstone’s ambitious plans for India, with a vision to double its investment exposure in the country to $100 billion. “We spend our time building businesses in India, to make India better…We are rapidly growing in India. We are the largest foreign company in the country. We are the largest private equity firm here,” he asserted.
Blackstone has been a major player in India’s private equity and real estate sectors, funding a variety of infrastructure, commercial, and industrial projects. The company’s commitment to increasing its footprint in India signals growing confidence in the country’s economic future.
China’s Economic Struggles Present an Opportunity for India
Addressing global economic trends, Schwarzman pointed out that China’s recent economic difficulties have created a unique opportunity for India. As companies seek alternative manufacturing and investment destinations, India has emerged as an attractive option.
“India became sort of top of mind for the business community as an alternative…And I think it’s important that India capitalizes on that opportunity. It’s got sort of low-cost labor, smart people. It’s got some challenges with logistics in the internal infrastructure compared to China. But there is a sort of a curiosity about India now. You must look at it if you’re a corporate executive that’s manufacturing offshore. And so, it should work out quite well for India,” he explained.
Schwarzman’s remarks reflect a broader shift in global trade patterns, where multinational corporations are increasingly diversifying their supply chains. India’s policy initiatives, such as the Make in India campaign and incentives for foreign investors, further support this shift.
India’s Economic Outlook and Investment Potential
Blackstone’s CEO remains optimistic about India’s long-term economic prospects. With increasing foreign investments, infrastructure advancements, and policy reforms, the country is becoming an attractive destination for global capital. The government’s proactive approach to trade discussions and economic partnerships with the US further strengthens this outlook.
As trade negotiations progress, experts believe that sectors such as technology, manufacturing, and finance will benefit the most from enhanced India-US collaboration. Schwarzman’s statements underscore the growing confidence in India’s ability to emerge as a global economic powerhouse in the coming years.
