Always a rule-maker

Always a rule-maker

Context

The inaugural International Solar Alliance (ISA) summit underlines India’s place in the new world order. Global equitable sustainable development, which is the basis of the ISA, suggests a ‘third’ way to the inequality and environmental damage characterising the current U.S. and China-led models.

US and China weakening multilateral rules

• There is an emerging clash in the United Nations, World Trade Organisation, and the climate treaty with the U.S. weakening multilateral rules by redefining what is ‘fair’
• It is also becoming clear that in a multipolar world China cannot shape rules for the ‘Asian Century’ by itself

India should fill in the gap

The shift fills the gap in the thrust of the ‘Chinese dream’ and ‘America first’, both of which ignore sustainable development.

ASEAN considers India as a balancing factor

• In January, the big takeaway from the ASEAN-India Summit was that countries in the region questioned the benefits of China’s model of a new order and the U.S.’s commitment to the existing order and considered India as a balancing factor.
• This is also why China and the U.S. are seeking to work with India.

Challenge for India

• The challenge for India is to take advantage of global trends and push infrastructure, e-commerce, human capital and technology development to position itself in the emerging global economic triumvirate, which must operate within global ecological limits, and as a cyber global power
• India should now give primacy to rules that will chart a path for its own sustainable prosperity rather than seek similar interests.

Importance of Indo China cooperation realized

• The two sides have just recognised “sensitivity to each other’s concerns, interests and aspirations” and China has suggested they “meet halfway”
• New opportunities are emerging with Beijing’s willingness to discuss Delhi’s concerns about Pakistan and the BRI
• The aim should be to demarcate the border, a colonial legacy, and for the Shanghai Cooperation Organisation to develop Asia-specific rules for non-aggression to institutionalize China’s stated support for non-hierarchical relations.

What India needs to do?

• Working with China jointly to set new multilateral rules: Questions around the existing political and economic order suggest that India should not reject collaboration in the Belt and Road Initiative (BRI), which is the framework for a new order. Rather, it should work with China to jointly set the new multilateral rules. Examples: RCEP, BRICS Development Bank, ADB
• India needs to extend its influence in Asia: A U.S. withdrawing from economic multilateralism needs India to shore up its strategic influence in Asia

Conclusion

In 2018, India will have to make hard choices. It will need to strike a balance between being a part of the Quad and partnering with Russia and China, as they are now considered the biggest threat by the U.S.