US Economic Strategy- Collaborate with India to fill the Economic fallout with Latin America, Russia, China & Middle East


The US economy is on the verge of coming out of multiyear downturn. The recent job and other reports are encouraging and it is expected the Fed will increase the interest rate again in coming months. In order to maintain its growth especially in election year, US government is trying hard to ensure that corporate win International contract. In US there are lots of resentment within the locals that Foreign companies are taking out local job and it impacted the government image as they failed to control that which they promised during last presidential election.

At the same time; US is alsofacing tough situation in their bilateral relationship with Russia, China andMiddle East. The US initiated initiative to impose International sanction against Russia is hurting more the US based companies compared to Russian establishment given their strong relationship with third world countries.

With China, US is at loggerhead due to South China Sea issue. Blame game is at the peak. Chinese got very cautious about US movement in South China Sea and it is turning into flash point and ofcourse in due course it will start to show the impact on US economy as US government will slow down their dependency on China to procure low cost product and now focusing hard to re-established their own manufacturing hub.

In my point of view, US main trading partners are based out of Middle East region and their US is bleeding their taxpayer $ to safeguard countries with their interest. Saudi Arabia economy is in shamble due to their engagement in Yemen, low oil price and higher cost on social welfare scheme. It impacted Saudi Arabia government to go for the free hand based new technology to other infrastructure upgrade. At the same time; major unrest in Iraq and Syria impacted the neighboring countries will to spend more on new initiatives.

Most of the counties in LatinAmerica is struggling with their depreciating currencies to major slowdown in economy along with political unrest in some of the countries.

Given the above environment, US wasted no time to extend its arm towards India with clear approach of tapping Indian marketplace as well as rebalance its strategic positioning in Asia Subcontinent. Once the reluctant US while offering India any warfare system to any other technology is now changed their approach while dealing with India. Post Honorable Prime minister of India initiative of "Make in India"; US companies through their government diplomatic channel is offering to setup manufacturing hub in India that include the technology transfer covering all sector to grab the much needed business in India. 

Indian government recent decision to modernize infrastructure to Smart cities to Railways to Defence itself is more than $300 Bn business opportunity for next 8 to 10 years. In the mean time; China proximity with Pakistan also prompted US to come closer to India to neutralize China growing clout. Given the above circumstances, Indian Honorable Prime minister with his master strategic move wasted no time and attracted the leaders of most of the countries on the discussion table and trying hard to bring in investment which India needed the most at this point of time.

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