US Sanctions and India's Position

The United States Congress has recently passed the Lindsey O Graham Sanctioning Russia and Iran Act 2026. This legislation allows the US President to impose tariffs of up to 100% on goods from the top five purchasers of Russian oil and gas, which include China, India, Slovakia, Hungary, and Azerbaijan. European allies have been exempted due to their efforts to reduce dependency on Russian energy.

Implications for India

• The US has been taking economic actions against India since 2017, starting with the end of the Generalised System of Preferences (GSP) and increasing tariffs on Indian commodities.
• India is now under pressure to stop oil imports from certain countries, though geopolitical shifts, such as regime changes in Venezuela, have altered these dynamics.
• Despite challenges, India continues to seek diversification of its foreign policy, evidenced by its hosting of the BRICS Summit with key global leaders in attendance.
• India's economic ties with the US remain significant, though there's a growing sentiment to reduce dependence.

Strategic Considerations

There is a call for the "de-Americanisation" of Indian foreign policy, already partially in effect. The defense relationship with the US is crucial, but India is expanding its partnerships with other nations like France, Japan, and Britain, alongside pursuing atmanirbharata (self-reliance) in defense.

US-China Relations

The US-China relationship is complex, lacking in trust but sustained by strong economic ties. Attempts at "decoupling" have been discussed but are deemed economically disastrous by US officials. Instead, "de-risking" and diversification of dependencies are being prioritized.

India's Strategic Approach

India is similarly looking to "de-risk" from both the US and China. This involves managing relations with a declining power (the US) and a rising power (China) amid global shifts. Decoupling from these major powers is not seen as feasible.

Global Context

In the current global landscape, nations like China, Russia, India, and others are actively defending their interests while seeking to reduce dependencies on major powers like the US. The historical context of a rising US and declining Britain is referenced, noting that the 21st-century geopolitical landscape is markedly different, with multiple powers asserting their influence.