India and Russia Strengthen Strategic Ties at SCO Summit Amid Global Trade Tensions

Tianjin, August 31, 2025 –

The Shanghai Cooperation Organisation (SCO) Summit in Tianjin, China, has emerged as a critical platform for reinforcing geopolitical alliances, with India and Russia taking center stage in discussions aimed at deepening their strategic partnership. Against the backdrop of escalating Westernal sanctions, Prime Minister Narendra Modi and Russian President Vladimir Putin held bilateral talks, reaffirming their commitment to countering external economic pressures and advancing mutual cooperation in defense, energy, and trade. The summit, attended by leaders from SCO member states, underscored the growing influence of the organization in shaping a multipolar world order.

The meeting between Modi and Putin was marked by a shared resolve to navigate the challenges posed by recent U.S. tariff threats. U.S. President Donald Trump’s announcement of a 10% tariff on imports from BRICS countries—Brazil, Russia, India, China, and South Africa—has sparked concerns about its impact on global trade dynamics. Both leaders expressed a unified stance against what they described as “discriminatory sanctions” that impede the socioeconomic progress of emerging economies. In an interview with China’s Xinhua news agency, Putin emphasized that such measures undermine fair competition and hinder development, a sentiment echoed by Modi, who called for greater economic resilience within the BRICS framework.

The Tianjin summit, hosted by Chinese President Xi Jinping, provided a grand stage for showcasing solidarity among SCO members. Modi highlighted the importance of peace and stability in border areas during his discussions with Xi, a nod to the ongoing efforts to resolve India-China border tensions. The leaders also explored avenues for expanding trade in national currencies to reduce reliance on the U.S. dollar, a move seen as a strategic counter to Western economic dominance. This push for de-dollarization aligns with broader BRICS objectives to foster financial independence and strengthen multilateral institutions like the New Development Bank.

India’s role at the summit extended beyond bilateral engagements. Modi announced India’s hosting of the SCO Youth Forum in 2026, aimed at fostering cultural and educational exchanges among member states. He also unveiled plans for a new SCO Center for Environmental Protection in New Delhi, signaling India’s commitment to addressing climate change collaboratively. These initiatives reflect India’s growing influence within the SCO, which now represents over 40% of the world’s population and a significant share of global GDP.

The discussions in Tianjin were not without challenges. The U.S. tariff threat, articulated by Vice-President J.D. Vance as a means to pressure Russia over its actions in Ukraine, has added complexity to the economic strategies of BRICS nations. India, heavily reliant on exports to the U.S. in sectors like textiles and pharmaceuticals, faces potential disruptions. However, analysts suggest that India’s diversified trade partnerships and growing domestic market could mitigate the impact. “India’s economy is resilient, but we must diversify our export markets further and strengthen intra-BRICS trade,” said Dr. Anjali Sharma, a trade policy expert at the Indian Institute of Foreign Trade.

Energy cooperation was another focal point of the Modi-Putin talks. With Russia being a key supplier of crude oil and fertilizers to India, both leaders agreed to expedite joint projects, including the Vostok oil project and nuclear energy collaborations. The operationalization of the Chennai-Vladivostok maritime corridor was also highlighted as a game-changer for enhancing connectivity and trade. “This corridor will cut shipping times significantly, boosting our economic ties,” said a senior official from India’s Ministry of External Affairs.

The summit also saw Modi and Putin reaffirming their defense ties, with India set to receive additional S-400 missile defense systems from Russia by 2026. This deal, despite earlier U.S. objections, underscores the depth of the India-Russia strategic partnership, which both leaders described as “time-tested and enduring.” The leaders also discussed expanding cooperation in space exploration, with potential joint missions on the horizon.

As the SCO Summit concluded, the message from Tianjin was clear: India and Russia are doubling down on their partnership to navigate a turbulent global landscape. The emphasis on economic resilience, defense collaboration, and regional stability reflects a shared vision for a multipolar world. However, the path forward is fraught with challenges, from managing U.S. tariffs to ensuring border peace with China. For India, the summit was an opportunity to assert its role as a global leader while balancing complex geopolitical dynamics.

The outcomes of Tianjin will likely shape India’s foreign policy in the coming years, with a focus on strategic autonomy and economic self-reliance. As Modi stated in his address, “In a world of uncertainties, the SCO stands as a beacon of cooperation and trust.” For now, India and Russia appear poised to deepen their alliance, leveraging the SCO platform to counter external pressures and build a more interconnected future.