Context:
The year 2025 proved challenging for Indian foreign policy, marked by unmet expectations, shifting global power equations, and mounting regional pressures. Despite early optimism about stronger global partnerships, India faced economic coercion, strategic ambiguity from major powers, and instability in its neighbourhood, exposing gaps between ambition and outcomes.
Key Highlights:
Strains in India–U.S. Relations
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Initial hopes of a stronger partnership were undermined by:
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U.S. tariffs on Indian goods
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Surcharges linked to India’s Russian oil imports
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Immigration-related restrictions
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These measures strained economic and strategic trust.
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The U.S. National Security Strategy adopted a softer stance on China and Russia, creating uncertainty for India’s strategic alignment.
Trade and Economic Diplomacy
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India signed Free Trade Agreements (FTAs) with:
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United Kingdom
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Oman
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New Zealand
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However, major trade deals with the U.S. and the European Union remain pending.
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Loss of Generalized System of Preferences (GSP) benefits continued to affect Indian exports.
India–China Relations
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Despite high-level diplomatic engagements, core security concerns remained unresolved.
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China failed to offer credible security guarantees along the Line of Actual Control (LAC).
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Border tensions continued to shape India’s defensive and cautious China policy.
Energy Security Pressures
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India faced pressure to curtail Russian oil imports amid threats of secondary U.S. sanctions.
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This posed a dilemma between:
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Strategic autonomy
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Affordable energy access
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Highlighted vulnerabilities in India’s energy diplomacy.
Regional Security Challenges
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A terror attack in Pahalgam exposed lingering security risks in Jammu and Kashmir.
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India’s retaliatory operation drew limited international diplomatic support, revealing constraints in narrative-building.
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A Saudi–Pakistan mutual defence pact complicated India’s regional security calculations.
Neighbourhood Instability
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Political transitions and instability in:
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Bangladesh
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Nepal
added uncertainty to India’s Neighbourhood First Policy.
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Managing democratic shifts and strategic interests simultaneously proved challenging.
Editorial Assessment
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The editorial argues that India must:
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Avoid attributing setbacks solely to external factors.
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Address internal inconsistencies and strategic overreach.
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Emphasises the need for policy coherence, realistic goal-setting, and diplomatic agility.
Relevant Prelims Points:
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Issue: Challenges in India’s foreign policy execution.
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Key Terms:
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Bilateral Trade Agreement (BTA)
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Line of Actual Control (LAC)
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Generalized System of Preferences (GSP)
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Countries Involved:
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U.S., China, Russia, Pakistan, Bangladesh, Nepal
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Impact:
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Trade uncertainty
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Energy security risks
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Regional instability
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Relevant Mains Points:
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Foreign Policy & Strategic Autonomy:
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Managing great power competition without alignment traps.
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Economic Diplomacy:
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Limits of FTA-led strategy without access to major markets.
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Security and Regional Stability:
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Terrorism and evolving defence partnerships in West and South Asia.
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Governance & Policy Coherence:
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Need for alignment between diplomacy, trade, and security policies.
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Way Forward:
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Recalibrate India–U.S. engagement beyond symbolism.
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Strengthen neighbourhood diplomacy through sustained engagement.
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Diversify energy sources and enhance strategic reserves.
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Improve diplomatic messaging and coalition-building post-crisis.
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Pursue realistic, interest-based foreign policy goals.
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UPSC Relevance (GS-wise):
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GS Paper II – International Relations: India–U.S., India–China, neighbourhood policy.
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GS Paper II – Polity: Strategic autonomy, foreign policy decision-making.
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GS Paper III – Economy: Trade policy, energy security, sanctions impact.