Overview and Congressional Interest

On July 18, 2005, during the first state visit to Washington, D.C., by an Indian leader sinceNovember 2001, President George W. Bush and Prime Minister Manmohan Singh issued a JointStatement resolving to establish a "global partnership" between the United States and India throughincreased cooperation on economic issues, on energy and the environment, on democracy anddevelopment, on non-proliferation and security, and on high-technology and space. (8) Such cooperation would require changes in both U.S. law and Nuclear Suppliers Group (NSG)guidelines. Just weeks earlier,the United States and India signed a ten-year defense framework agreement. This report reviews the major provisions of U.S.-India bilateral agreements signed in 2005and further explicated in March 2006, including the status of issues addressed in the now completedNext Step in Strategic Partnership initiative, security relations, economic relations, and global issues. The report reviews arguments made in favor of and in opposition to increased bilateral cooperationin each major issue-area and includes Indian perspectives. Regional issues involving China,Pakistan, and Iran also are discussed. (10) 
U.S.-India agreements in June and July 2005 represent a new set of landmarks in rapidlywarming ties between the world's two most populous democracies. (17) 
The Administration's policy of assisting India's rise as a major power has significantimplications for U.S. interests in Asia and beyond. The course of U.S. relations with China andPakistan, especially -- and the relationship between Beijing and Islamabad, itself -- is likely to beaffected by an increase in U.S.-India strategic ties. Of most immediate interest to the U.S. Congressmay be the Bush Administration's intention to achieve "full civilian nuclear energy cooperation withIndia," and its promise to bring before Congress related and required legislative proposals. (18) Many in Congress alsoexpress concerns about India's relations with Iran and the possibility that New Delhi's policies towardTehran's controversial nuclear program may not be congruent with those of Washington. Morebroadly, congressional oversight of U.S. foreign relations in Asia likely will include considerationof the potential implications of increased U.S. cooperation with India in functional areas such asarms sales and high-technology trade. With rapid increases in Indian and Chinese influence on theworld stage, many in Congress will seek to determine how and to what extent a U.S.-India "globalpartnership" will best serve U.S. interests. (38) 
During a September 8, 2005 hearing on U.S.-India relations, the first held after the July 18Joint Statement, Members of the House International Relations Committee expressed widespreadapproval of increasingly warm U.S.-India relations. However, many also expressed concerns aboutthe potential damage to international nonproliferation regimes that could result from changes in U.S.law that would allow for civil nuclear cooperation with India. U.S. diplomats have called bilateralmilitary cooperation among the most important aspects of transformed U.S.-India relations.
India is enjoying rapidly growing diplomatic and economic clout on the world stage, and thecourse of its rise (along with that of China) is identified as one of the most important variables in 21stcentury international relations. In recognition of these developments, U.S. policy makers havesought to expand and deepen U.S. links with India. On July 18, 2005, President George W. Bushand Prime Minister Manmohan Singh issued a Joint Statement resolving to establish a "globalpartnership" between the United States and India through increased cooperation on numerouseconomic, security, and global issues, including "full civilian nuclear energy cooperation." Suchcooperation would require changes in both U.S. law and international guidelines; the BushAdministration may present to Congress related and required legislative proposals in 2006. On June28, 2005, the United States and India signed a ten-year defense framework agreement that calls forexpanding bilateral cooperation in a number of security-related areas. U.S.-India bilateralagreements in 2005 represent a new set of landmarks in rapidly warming ties between the world'stwo most populous democracies. A policy of assisting India's rise as a major power has significantimplications for U.S. interests in Asia and beyond. The status of U.S. relations with China andPakistan, especially, is likely to be affected by increased U.S.-India strategic cooperation. Manyobservers view U.S. moves as part of an effort to "counterbalance" the rise of China as a majorpower.
Following major U.S.-India agreements, Congress held four relevant hearings during autumn2005. Two of these hearings focused specifically on the most controversial aspect of the July 2005Joint Statement: proposed civilian nuclear cooperation. Congressional approval of increasinglywarm U.S.-India relations appears to be widespread. However, some Members also have expressedconcerns about the potential damage to international nonproliferation regimes that could result fromchanges in U.S. export laws and international guidelines. Senior Members also have voicedconcerns about India's relations with Iran and the possibility that New Delhi's policies towardTehran's controversial nuclear program may not be congruent with those of Washington. Morebroadly, congressional oversight of U.S. foreign relations in Asia likely will include considerationof the potential implications of increased U.S. cooperation with India in functional areas such asarms sales and high-technology trade. With rapid increases in Indian and Chinese influence on theworld stage, many in Congress will seek to determine how and to what extent a U.S.-India "globalpartnership" will best serve U.S. interests.
This report reviews the major provisions of U.S.-India bilateral agreements, including thestatus of issues addressed in the recently completed Next Step in Strategic Partnership initiative,security relations, and economic relations. The report reviews arguments made in favor of and inopposition to increased bilateral cooperation in each major issue-area and includes Indianperspectives. Regional issues involving China, Pakistan, and Iran also are discussed. The report willbe updated as warranted by events. See also CRS Issue Brief IB93097, India-U.S. Relations , and CRS Report RL33016 , U.S. Nuclear Cooperation With India .