India & Foreign Affairs — Challenges and Strategies (2025)

India & Foreign Affairs — Challenges and Strategies (2025)

By: Foreign Affairs Desk •
Snapshot:

India in 2025 balances strategic hedging and active diplomacy — deepening ties with the United States, engaging regionally through the Quad and Indo-Pacific frameworks, managing a fraught border relationship with China, experimenting with diversified multilateralism (including BRICS and G20), and recalibrating ties with neighbouring Afghanistan.

Introduction

Over the last decade India has pursued a pragmatic, interest-driven foreign policy that tries to maximize strategic autonomy while building partnerships across regions. Economic diplomacy, defence cooperation, maritime security, and soft-power outreach now sit alongside a renewed focus on neighbourhood stability. This post surveys the main theatres and themes of Indian foreign affairs in 2025 and what they mean for regional and global order.

1. Strategic partnerships: the United States and beyond

India–United States ties have matured into a multifaceted partnership: trade and investment, defence technology cooperation, and close people-to-people ties. However, like any partnership between two large democracies with differing priorities, it faces occasional friction — trade negotiations, technology controls, and differing approaches to global governance. India continues to seek greater market access, technology transfer and deeper integration into high-value supply chains while preserving policy space.

2. Managing China: deterrence without decoupling

India’s relationship with China remains the most complex strategic challenge. Border tensions since 2020 transformed how New Delhi views Beijing — a problem that cannot be solved purely at the bilateral level and which shapes India’s defence posture, infrastructure build-up in the Himalayan border regions, and partnerships with like-minded democracies. At the same time, New Delhi sustains trade and multilateral engagement with Beijing: the policy balance is deterrence at the border and conditional engagement elsewhere.

3. Multipolar platforms: BRICS, G20 and hedging

India has been an active participant in the evolving architecture of the Global South, including G20 leadership and engagement in BRICS. The expansion of BRICS in recent years has added middle-power and energy-rich members, prompting New Delhi to see this platform as useful for economic cooperation, but to be cautious about security alignments that might pull it away from Western partnerships.

4. Indo‑Pacific & the Quad: norms, health and maritime security

India’s Indo‑Pacific strategy emphasizes maritime security, infrastructure resilience, and capacity-building for smaller Indian Ocean states. The Quad — India, US, Japan and Australia — plays a role in coordinating pandemic preparedness, critical supply chains and maritime domain awareness. India balances its Quad commitments with its ASEAN-first rhetoric and the principle of strategic autonomy.

5. Neighbourhood recalibration: Afghanistan, Pakistan and SAARC

New Delhi’s neighbourhood policy is pragmatic. While relations with Pakistan remain largely frozen and transactional, India’s engagement with Afghanistan has shifted toward cautious re-engagement focused on development, humanitarian assistance, and ensuring Afghan territory does not become a security threat. India continues to push for regional connectivity, though SAARC’s effectiveness remains limited.

6. Economic diplomacy & supply-chain resilience

India’s foreign policy is now deeply economic: attracting investment, widening export markets, and securing critical minerals and energy. Delhi pursues supply-chain resilience by diversifying partners (from East Asia to the Gulf and Africa), promoting “Make in India” and negotiating investment and trade frameworks that protect strategic industries while encouraging FDI.

7. Soft power, climate and development diplomacy

Soft power—culture, diaspora, development assistance, vaccines and climate diplomacy—remains a key asset. India has used its diplomatic capital in forums like the G20 to shape climate finance debates and to highlight the development needs of Global South countries.

Conclusion: the art of strategic pluralism

India’s 2025 foreign policy can be characterised as strategic pluralism: deepening ties where interests align, hedging where threats persist, and using multilateral forums to expand influence. The coming years will test how well India translates diplomatic agility into tangible security and economic gains while managing domestic politics and global uncertainties.

India Foreign Policy Indo‑Pacific BRICS

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