India's Foreign Relations: An Overview as of October 2025

 

India's Foreign Relations: An Overview as of October 2025

India's foreign policy, often described as a blend of "multi-alignment" and "strategic autonomy," emphasizes economic diplomacy, regional stability, and global leadership while avoiding formal military alliances. Rooted in principles like non-alignment (from the Cold War era) and Panchsheel (peaceful coexistence), it has evolved to focus on national security, trade, technology, and initiatives like the International Solar Alliance (ISA) and Coalition for Disaster Resilient Infrastructure (CDRI). As of October 2025, India maintains over 200 diplomatic missions worldwide, with strategic partnerships with more than 40 countries. Key drivers include its $3.9 trillion economy, diaspora of 18 million, and role in forums like G20, BRICS, and Quad.

India's relations are broadly positive, with strong ties to the Global South and developing nations, but tensions persist in the neighborhood (e.g., China, Pakistan). Recent developments include a cautious thaw with China, diversification of oil imports amid U.S. sanctions on Russia, and renewed engagement with Afghanistan. Below is a categorized summary of key bilateral relations, drawing from diplomatic engagements, trade volumes, and geopolitical alignments.

Major Global Powers

India balances relations with superpowers, prioritizing economic gains and security without exclusive alignments.

Country/RegionKey AspectsTrade Volume (2024-25 est.)Recent Developments (2025)
United StatesComprehensive Global Strategic Partnership; defense (e.g., iCET for tech transfer), trade, Quad member. Bipartisan support despite differences on Russia/Ukraine.$190 billionPotential Trump-Modi summit; focus on AI, semiconductors. U.S. views India as vital for Indo-Pacific stability.
ChinaTense due to border disputes (Ladakh 2020); economic interdependence via BRICS/SCO. Cautious reset post-2024 patrolling agreement.$135 billion (India deficit: $85B)Foreign Secretary talks; resumed direct flights, eased rare earth exports. No summit yet; trust deficit lingers.
Russia"Time-tested" partnership; 60% of India's defense imports; energy deals (e.g., oil at discounted rates).$65 billionPutin-Modi summit planned Q1 2025; shift to tech/manufacturing. India diversifies oil post-U.S. sanctions on Lukoil/Rosneft.
European UnionTrade/investment focus; FTA negotiations. Strategic ties with France (Rafale jets), Germany (tech).$120 billionNew EU-India agenda; Wadephul's canceled China trip highlights EU pivot to India amid trade tensions.
JapanSpecial Strategic Partnership; Quad, infrastructure (e.g., bullet train).$22 billionClean energy pacts; joint exercises to counter China.

Neighborhood (South Asia & Indian Ocean)

"Neighborhood First" policy drives engagement, but challenges like terrorism and Chinese influence persist.

CountryKey AspectsTrade Volume (2024-25 est.)Recent Developments (2025)
PakistanStrained by Kashmir, cross-border terrorism; no formal talks since 2019 Pulwama attack.$2.5 million (minimal)No breakthrough; India demands end to terror support. Pahalgam attack (Oct 2025) escalates tensions.
BangladeshStrong economic/cultural ties; post-Hasina ouster (Aug 2024), interim govt. stabilizes relations.$14 billionBorder management talks; India aids development projects.
Sri LankaEconomic aid post-2022 crisis; debt restructuring via China.$5 billionExpanded ties; zigzag with Maldives/Nepal, but positive outlook.
Maldives"Closest ally" post-Muizzu pivot; infrastructure aid.$500 millionMuizzu visits India; financial support amid economic woes.
BhutanStrategic (hydropower, borders); informal "strategic partnership."$2.5 billionDeepened energy/security cooperation.
NepalCultural/religious links; resolved 2024 border maps.$8 billionZigzag course; focus on trade/connectivity.
AfghanistanHumanitarian aid; no Taliban recognition but pragmatic engagement.MinimalEmbassy reopened in Kabul (Oct 2025); talks with Taliban FM amid Pakistan-Taliban rift.

Middle East & Gulf

Energy security and diaspora (9 million Indians) anchor ties; shift from oil to investments

CountryKey AspectsTrade Volume (2024-25 est.)Recent Developments (2025)
UAEComprehensive Partnership; CEPA (2022); RuPay-JAYWAN linkage.$85 billionBAPS temple inauguration; LNG deals.
Saudi ArabiaStrategic Partnership; oil imports (18% of India's needs).$52 billionI2U2 (India-Israel-UAE-US) forum advances.
QatarEnergy supplier; freed 8 Indian naval officers (2024).$18 billionLNG supply pacts; FDI inflows.
IranChabahar Port for Central Asia access; INSTC corridor.$2 billionRenewed port ops despite U.S. sanctions.

Indo-Pacific & Beyond

Act East/Think West policies expand influence; focus on ASEAN, Africa, Latin America.

Country/RegionKey AspectsTrade Volume (2024-25 est.)Recent Developments (2025)
AustraliaQuad; critical minerals, defense.$26 billionClean energy partnership; power infrastructure for AI.
ASEANTrade bloc; Act East pillar.$130 billionModi skips Oct summit (Trump factor?); focus on connectivity.
AfricaSouth-South cooperation; ISA/CDRI members.$70 billionPresident Murmu's visits to Algeria, Mauritania, Malawi (Oct).
BrazilBRICS; G20 co-chair (2023 legacy).$15 billionModi visit; commended India's G20 initiatives.
CanadaStrained by Khalistan row; steps toward strategic partnership.$8 billionDiplomatic thaw; low public approval in Canada.
IsraelDefense/tech; I2U2.$10 billionInnovation corridor; post-Gaza neutrality.

Multilateral Engagements

  • Quad (US, Japan, Australia): Indo-Pacific security; 2025 summit in India.
  • BRICS/SCO: Economic forum with Russia/China; expanded to include Egypt, UAE.
  • G20/UN: Pushes Global South agenda; UNSC reform advocacy.
  • Challenges: U.S.-China tensions test autonomy; Trump 2.0 may boost bilateral ties but strain Russia links. Climate/diplomacy (e.g., LiFE mission) enhances soft power.

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