During a two-day visit to India, officials from a visiting United States Trade Representative (USTR) delegation held discussions with American companies, emphasizing the importance of following an “America First” strategy. The delegation reportedly nudged US firms to focus a significant portion of their investments in technology and artificial intelligence (AI) sectors toward domestic operations in the United States, prioritizing the creation of meaningful jobs within the country rather than outsourcing work to foreign labor. The discussions highlighted the US administration’s intent to retain high-value employment and major capital expenditures in critical, emerging sectors like AI, hardware, and energy.
The US trade delegation was led by Deputy US Trade Representative Rick Switzer and Brendan Lynch, the chief US negotiator for the long-pending bilateral trade agreement (BTA) with India. Their visit to Delhi aimed to resolve differences in the BTA and to discuss ways to strengthen trade relations while ensuring US interests remain safeguarded in critical sectors. Over the two days, the delegation met with representatives from various American tech companies and their associates. Members of the US-India Business Council (USIBC) and the US-India Strategic Partnership Forum (USISPF) also participated in these discussions, reflecting the high level of coordination between business and government stakeholders.
During these meetings, the USTR officials reportedly emphasized investments in AI infrastructure, noting the growing strategic importance of the sector. Companies were encouraged to direct capital expenditures toward the American markets, particularly in AI, hardware, and energy, while investments in foreign markets, including India, should remain secondary and should not exceed their US commitments. This guidance aligns with the US administration’s broader strategic objective: to maintain domestic leadership in cutting-edge technologies, ensure job creation within the country, and prevent high-value investments from moving overseas.
The discussions also touched upon recent AI-related investments in India by major American technology companies, such as Google and Microsoft. The US government recognizes the importance of India’s AI ecosystem, both at the front-end for consumer applications and on the back-end in terms of servers and data centers. While investments in India are encouraged, they should complement, rather than substitute, US-based capital deployment. Google, for instance, recently announced plans to invest $15 billion over five years to establish an AI data center in Andhra Pradesh. However, this comes alongside a larger commitment of $40 billion to develop three new data centers in Texas, illustrating the emphasis on prioritizing domestic investments.
The overarching message from the USTR delegation underscores a strategic balance: while the global expansion of American firms is encouraged, the priority must remain on reinforcing the domestic economy. By focusing on AI, hardware, and energy investments within the US, companies can help strengthen America’s competitive edge in emerging technologies while creating sustainable, high-value employment opportunities. At the same time, leveraging strategic investments abroad, such as in India, is seen as complementary to maintaining technological leadership and global market engagement.
In summary, the USTR delegation’s meetings with American tech firms in India highlighted the “America First” approach, advocating for prioritization of US-based investments and domestic job creation. While global expansion, including investments in India’s AI infrastructure, is welcomed, the US administration emphasized that such investments should not undermine commitments at home. This strategy reflects the broader aim of retaining high-value jobs, ensuring leadership in emerging technologies, and aligning international business operations with national economic priorities. The discussions illustrate the US government’s effort to balance global engagement with domestic economic security in the era of advanced technologies like AI.
