The Narrative on Unrestricted Commerce
In 2025, India's foreign policy continues to maintain a strategic balance, leaning towards both Russia and the United States. This approach, rooted in India's pursuit of a multipolar foreign policy, positions India as a principal actor within the BRICS grouping.
India's ties with Russia remain strong, particularly in the energy and defense sectors. High-level diplomatic engagements persist, such as the August 2025 visit of India’s External Affairs Minister to Russia to co-chair economic and strategic commissions and reinforce the India-Russia “Special and Privileged Strategic Partnership”. Despite this, India resists Western calls to isolate Russia over the Ukraine conflict, opting for an evenhanded diplomatic position.
The United States views India as a crucial partner in the Indo-Pacific region, but is currently resorting to economic measures to curtail India’s energy linkages with Russia. This tension between strategic cooperation with the US and India’s independent foreign policy choices is evident.
India's role within BRICS complements its stance, as the bloc promotes economic cooperation and alternative global governance forums, aligning with India’s interest in multipolarity and strategic autonomy amidst the US-China rivalry.
Among domestic politics, Congress MP Priyanka Gandhi has been vocal in speaking against Israel's recent killing of four Al Jazeera journalists. Meanwhile, the BJP regime's claims to leadership of the Global South are jeopardised by India's lack of strong disapproval of Israeli actions.
Modi's foreign policy, once hailed as a success, especially through the 'bromance' with Donald Trump, now seems adrift. However, the Indian government's response to the imposed tariffs has been one of defiance. Modi has called up Brazilian President Lula da Silva and is due to visit China in late August for the Shanghai Cooperation Organisation summit.
The impact of these tariffs is likely to be wide-ranging, affecting numerous Indian Micro Small and Medium Enterprises (MSMEs) in foundries manufacturing steel and aluminum parts to diamond cutting units in Surat, exporting to the US market.
In response to US concerns about a 'rapid acceleration' in Indian imports of cheap Russian oil, Jaishankar, the Indian Foreign Minister, quipped about India's oil imports being less than what Europe does in an afternoon.
This balancing act highlights India’s emphasis on strategic autonomy in a complex geopolitical environment.
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