G7 Summit Day 2: Modi‑Trump Talks on Bilateral Trade, AI Security & Strait of Hormuz Risks

Overview On June 17, 2026 , the second day of the G7 summit shifted to the digital sphere , where leaders debated the security risks posed by AI and social media. Prime Minister Narendra Modi and U.S. President Donald Trump met to accelerate a proposed bilateral trade deal and to deepen cooperation in defence, energy and critical minerals . Key Developments Discussion on AI safety and the role of social media in spreading misinformation. Modi‑Trump talks focused on fast‑tracking the bilateral trade deal , with emphasis on defence, energy and critical minerals cooperation. President Trump scheduled a dinner at the Palace of Versailles before returning to Washington. The summit continued to push President Trump’s proposal to end the war with Iran and to pressure Russia to broker peace in Ukraine. Prime Minister Modi participated in a session titled “Forging New Partnerships and Rebuilding International Solidarity”, highlighting concerns over disruptions in maritime trade through the Strait of Hormuz and the loss of Indian civilians. Important Facts Date: June 17, 2026 Venue: Versailles, France (summit) and adjoining meetings. Key participants: Modi , Trump , leaders of Canada, France, Germany, Italy, Japan, Britain, and the United States. Core agenda: AI security, trade negotiations, energy & critical minerals , and geopolitical stability in West Asia. UPSC Relevance The meeting illustrates several themes that appear in the UPSC syllabus: international diplomacy (GS2), the impact of emerging AI on security, the strategic importance of the Strait of Hormuz for global energy supplies, and the role of critical minerals in defence and technology policy. Understanding bilateral trade negotiations helps answer questions on trade policy and economic diplomacy. Way Forward India should leverage the momentum to finalize the bilateral trade deal with the United States, ensuring clauses on technology transfer and critical minerals supply. Strengthen cyber‑security frameworks for AI applications and social media platforms, aligning with global standards. Coordinate with G7 partners to keep the Strait of Hormuz open and secure, possibly through joint naval patrols. Promote multilateral dialogue on conflict resolution in West Asia, positioning India as a constructive mediator.