01 November 2025
Last Updated: 01 November 2025 - 01:43 IST
Chaitanya Nitin Harak
India’s foreign policy is experiencing a formative shift, defined by a drive to safeguard national interests amid shifting global dynamics. In recent weeks, New Delhi has signed a 10-year defense pact with the United States—deepening interoperability and technology ties—while simultaneously entering a landmark agreement with Russia’s United Aircraft Corporation (UAC) to manufacture the Sukhoi MC100 passenger jet domestically. These moves exemplify the principles of Indian strategic autonomy at a moment when great power competition is intensifying.
US-India Relations: Defense Continuity and Trade Disruption
The current US-India partnership reflects both institutional continuity and abrupt disruption. During President Biden’s administration, bilateral defense, technology, and innovation ties were notably expanded, resulting in frameworks for joint development, intelligence sharing, and investments in critical sectors like semiconductors and aviation. These efforts prioritized a stable and broad-based strategic partnership, underpinning India’s role in the Indo-Pacific and emphasizing capacity-building through sustained cooperation.
Since President Trump’s return to office in 2025, however, the trade landscape has changed sharply. Tariff barriers on key Indian exports have doubled to 50%—the highest imposed on any major US partner—and Trump has linked future tariff reductions directly to India’s willingness to cut Russian energy imports. This transactional approach stands in contrast to the institution-building ethos of Biden’s tenure.
Indian negotiators have drawn a firm distinction: while Trump-era tariffs are damaging and unwelcome, defense and strategic imperatives—built over years and strengthened under Biden—must be pursued independently. Trade disputes, New Delhi insists, should not be conflated with security imperatives. Both sides have acknowledged that short-term economic frictions must not undermine the long-term partnership, as recent high-level meetings in Washington and Delhi have shown.
Advancing Atmanirbhar Bharat: The MC100 Deal With Russia
India’s agreement with Russia’s United Aircraft Corporation (UAC) and Hindustan Aeronautics Limited (HAL) to manufacture the MC100, or Sukhoi SJ-100, represents a landmark moment for both industrial policy and foreign relations. After decades without indigenous passenger aircraft production, this partnership marks India’s return to the sector, advancing the goals of Atmanirbhar Bharat (Self-Reliant India) and bolstering the UDAN scheme for regional connectivity. The deal aligns closely with India’s imperative to support domestic aviation, particularly for underserved tier-2 and tier-3 cities experiencing rapid growth in demand.
Beyond the commercial rationale, the MC100 agreement is highly strategic. It enables India to leverage Russian technology and expertise at a time when Western sanctions limit Russia’s traditional markets. It also allows New Delhi to assert its autonomy in an era of heightened geopolitical pressure, especially as the United States links trade concessions to reductions in Russian imports. Moreover, with Russia remaining a crucial defense partner—supplying key hardware and spare parts—the deal reinforces a broader portfolio of transactional ties that secure both economic and security objectives.
Overall, the MC100 pact is a calculated move blending industrial ambition with diplomatic pragmatism, positioning India as a resilient and adaptive actor in global aviation and strategic affairs.
Strategic Balancing and Multi-Alignment
India’s foreign policy success today lies in its sophisticated strategic balancing, particularly visible in its dual engagement with both the United States and Russia. This approach is a direct response to the evolving triangle of power in Asia: the deepening China-Pakistan military partnership and the potential for Moscow to align more closely with Beijing drive New Delhi’s calculus. By fortifying its defense ties with Washington and simultaneously advancing its aviation and energy cooperation with Russia, India ensures it does not become overly reliant on any single partner while maintaining leverage across multiple domains.
Meanwhile, India is intensifying its outreach to other key players—Japan, France, and the European Union—demonstrating the importance of issue-based alliances and coalition-building in a multipolar world. Through global platforms such as the G20, Quad, and BRICS, India is not merely adapting to international rule-making but actively shaping it, projecting diplomatic agility and seeking concrete gains on climate, technology, and security challenges. Strategic autonomy, therefore, isn’t isolation, but the hallmark of a confident, assertive India navigating a fractured geopolitical order.
India’s recent agreements with the US and Russia are not evidence of indecision, but of sophisticated statecraft. The capacity to balance defense innovation, economic opportunity, and energy security without compromising its sovereignty is fundamental to India’s global strategy. The Biden administration’s legacy of sustained partnership endures through strong security frameworks, while the immediate trade confrontation reflects Trump’s unilateral escalation of tariffs. India’s dual-track diplomacy ensures negotiation from a position of strength. As the world demands binary choices, India demonstrates—through disciplined, autonomous engagement—the necessity of nuanced partnership in a complex era.