Report says U.S. policy uncertainty pushing India to expand global partnerships
NEW DELHI — Uncertainty surrounding U.S. policy under the administration of President Donald Trump has prompted India to seek stronger economic and strategic partnerships with other global powers, according to an article published in the journal Foreign Affairs.
The analysis argues that pressure tactics from Washington have altered what had previously been a strengthening relationship between the United States and India.
According to the article, Indian leaders initially believed the United States would prioritize its partnership with New Delhi as part of a broader strategy to compete with China. However, that expectation has not materialized, prompting India to explore alternative partnerships.
The article highlights India’s recent trade agreement with the European Union, signed in January, as an important signal of a shift in New Delhi’s geoeconomic strategy.
European Commission President Ursula von der Leyen described the deal as the “mother of all deals,” estimating that it could generate about 30 billion euros in export gains for both sides. The agreement was also accompanied by a new defense pact and several additional cooperation agreements.
According to the article, bilateral economic agreements such as the one reached with Brussels, along with recent deals with countries including Australia and the United Arab Emirates, could help India strengthen its economy while reducing dependence on any single partner.
The article also suggests that India should consider joining the Comprehensive and Progressive Agreement for Trans-Pacific Partnership, known as CPTPP, which is widely regarded as one of Asia’s most important trade blocs.
The CPTPP was signed in 2018 after the United States withdrew from the earlier Trans-Pacific Partnership, a proposed trade agreement intended to create a high-standard economic zone spanning the Pacific region.
The trade bloc reduces or eliminates tariffs across a wide range of goods and services and requires member countries to adhere to common standards in areas such as labor rights, intellectual property protections, and investment policies.
According to the article, these standards encourage structural reforms within member economies while expanding access to international markets.
The agreement currently includes 12 members representing about 15 percent of the global economy, including Australia, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Singapore, the United Kingdom, and Vietnam. Other countries, including Cambodia and South Korea, have also expressed interest in joining.
While the article notes that India would face significant challenges in joining the bloc, it argues that the potential benefits could be substantial.
Membership could give CPTPP countries preferential access to India’s large and growing market, while India could accelerate its integration into regional supply chains and expand its export opportunities, the article said. (Source: IANS)
