Renewable energy adoption will be much slower than what was being projected earlier, and China’s curbs on rare-earth magnets will slow down the adoption of electric vehicles. Oil will continue to fuel India’s economy in 2026 and beyond.
It is customary for every U.S. president to release a National Security Strategy (NSS) early in their tenure. President Trump published the NSS for his second term in November 2025. It’s a contrast from his 2017 NSS, which addressed broad threats. The 2025 version is narrower, emphasising trade over security, with the Western Hemisphere being the primary area of focus. Is the U.S.’s global role shrinking?
After a remarkable recovery from a very deep crisis in 2022, Sri Lanka’s recent budget for 2026 consolidates economic stabilisation and introduces a few markers for further growth. But more needs to be done to embed a growth strategy and transform its economy to avoid further IMF austerity programmes.
India-China relations move in waves of hostility and stability. The bilateral may be re-entering a period of stability, last seen in 2018. If the caveats of security, mutual sensitivity and a level playing field are respected, then much can be achieved by reviving the initiatives begun after PM Modi’s visit to China in 2015 and two informal summits in Wuhan in 2018, and Mahabalipuram in 2019.
Chinese President Xi Jinping set two centennial goals and a 2027 target for the People’s Liberation Army’s (PLA) modernisation. This is in line since its founding in 1927, when the PLA has undergone continuous technological, doctrinal, and manpower transformation. Guided by Xi’s goals, it is adapting to evolving warfare trends drawn from experience and observation. For India, the implications arise not only from the PLA’s modernisation but also from emerging military and geopolitical dynamics.
On October 22, 2025, U.S. President Donald Trump imposed sanctions on Russia’s oil giants, Rosneft and Lukoil. The move has clear geopolitical motives—to remove a major supplier from an oversupplied oil market. Indian oil companies, key buyers of Russian crude, now face pressure to cut imports, undermining India’s energy diversification and shaking global oil markets, including the U.S. economy.
The Quad summit is expected to be hosted by India in the second half of 2025, possibly in November. However, the grouping faces turbulence that transcends the current flow of India-U.S. relations. The relevance of Australia and Japan, too, needs to be factored in. Beijing considers the Quad as “the Asian NATO” that aims to contain China. Since the commencement of Trump 2.0, the grouping has been struggling to redefine its role and mandate.
The world is undergoing a profound transformation - not driven by the U.S., China, or Russia, but by small and medium states carving out their rightful space in the emerging order. With UN reform stalled, middle-power cooperation must organise effectively to push for a responsive multilateral system that works for all, ensuring institutions are reformed and made fit for today’s world.
In China’s White Paper on national security, the country congratulates itself for maintaining peace and development and bringing “stability in a tempestuous world.” It also pats itself on the back for “creating unity and self-reliance in the Global South” thus leading to an adjustment of the international balance of power. Worth studying are its global initiatives – a new governance order.
Prime Minister Narendra Modi’s visit to Japan is significant for India domestically and its extended Asian influence. His visit, just prior to the SCO Summit in China, represents a shrewd endeavour at balancing the several priorities of Indian foreign policy