President Donald Trump welcomed Indian Prime Minister Narendra Modi to the White House as the US imposed sanctions on a Pakistan-based militant fighting India in Kashmir and approved a $366m (£244m) military sale to the country.
Trump thanked Modi on Monday (26 June) for the purchase of C-17 military transport aircraft, saying that it "always makes us feel very good" when countries buy US-made military equipment, adding "there's nobody makes military equipment like we make military equipment. Nobody even close".
Trump also lauded the relationship between the two countries, which he described as "very, very strong and very, very powerful". He added that they "agree on most things".
India is now partnered with the US in the fight against "radical Islamic terrorism", Trump said. After bilateral talks, the two leaders will attend a cocktail reception and dinner.
Speaking in the Rose Garden after talks between the two administrations, Modi invited Trump and his family on a trip to India. "I would like to invite you and your family", the Indian prime minister said.
On the same day as Modi's arrival, the US State Department announced sanctions against Syed Salahuddin, the leader of the largest group fighting India in Kashmir, branding him a "global terrorist".
Both Modi and Trump run on economic nationalist platforms that could clash when it comes to trade talks, although both countries have similar concerns about China's rise as a global military power.
Another contentious issue could be climate change, with India supporting the Paris Climate Agreement that Trump pulled the US out of.
Another purchase, this time worth $2bn (£1.57bn), of American-made unmanned surveillance drones, is also set to also be approved by the US administration.
In what may be a sign of closer relations, the two world leaders shared a hug as they concluded conference in the Rose Garden.