Trump's Defense Deal: How a $890 Billion Act Expands US-India Military Ties

The law authorizes $890 billion in national security spending. It directs the United States to broaden engagement with India, including through the Quadrilateral Security Dialogue, to advance a free and open Indo-Pacific region.

In his signing statement, Trump said the Act “will enable the Department of War to carry out my Peace Through Strength agenda, protect the homeland from domestic and foreign threats, and strengthen the defence industrial base,” while codifying aspects of more than a dozen executive actions taken by his administration.

The legislation calls for expanded bilateral and multilateral military engagements with India, increased participation in military exercises, increased defence trade, and closer cooperation on humanitarian assistance and disaster response. It also identifies maritime security as a specific area for deeper US-India cooperation.

The NDAA further mandates a joint US-India assessment on nuclear liability rules under the United States-India Strategic Security Dialogue.

It directs the Secretary of State to establish a recurring consultative mechanism with India to assess implementation of the 2008 civil nuclear agreement, discuss opportunities for India to align domestic nuclear liability rules with international norms, and develop joint diplomatic strategies related to civil nuclear cooperation.

The State Department is required to report to Congress within 180 days of enactment and annually thereafter for five years.

The Act requires US assessments that include Russia’s military cooperation with India and Russia’s broader military posture affecting the Indo-Pacific and other regions.

Separately, the NDAA authorises the establishment of an Ambassador-at-Large for the Indian Ocean Region within the State Department. The position would coordinate US diplomatic efforts across Indian Ocean countries and focus on countering malign influence by the People’s Republic of China in the region.

The NDAA also authorises $1 billion for the Taiwan Security Cooperation Initiative and includes provisions to prevent Chinese military companies from circumventing US restrictions through third-party countries.

Beyond strategic issues, the NDAA authorises a 3.8 per cent pay raise for US service members and provides funding for housing, health care and childcare, as well as protections for civilian defence employees.

Passed annually for more than six decades, the NDAA sets US defence policy and spending priorities. The FY26 law formally places expanded military, nuclear and regional engagement with India within the framework of US defence legislation.

- IANS